http://prumalibu.com/blog/2010/02/11/welcome/ Malibu and Topanga Real Estate Sat, 08 Oct 2011 17:39:00 +0000 http://wordpress.org/?v=2.9.1 hourly 1 http://prumalibu.com/blog/2010/02/11/welcome/comment-page-1/#comment-10 admin Mon, 22 Feb 2010 16:06:32 +0000 http://prumalibu.com/blog/2010/02/11/welcome/#comment-10 Inman news and la times are good sources. Local sources include Malibu Times and Surfside News Inman news and la times are good sources. Local sources include Malibu Times and Surfside News

]]> http://prumalibu.com/blog/2010/02/11/welcome/comment-page-1/#comment-7 Annelle Tabet Fri, 19 Feb 2010 23:58:57 +0000 http://prumalibu.com/blog/2010/02/11/welcome/#comment-7 The Fed Funds Rate is the interest rate banks charge each other for the overnight sale of immediately available funds. Banks are lending to banks here. The Discount Rate is used when banks borrow funds from the Federal Reserve. These are funds that are not currently in the banking system. What the Fed is doing by raising the discount rate is limiting the amount of NEW MONEY that could be put into the banking system. Because there are currently over $1 trillion excess reserves already in the banking system...this move is not really a big deal. More than anything it's psychological. The Fed Funds Rate is the interest rate banks charge each other for the overnight sale of immediately available funds. Banks are lending to banks here. The Discount Rate is used when banks borrow funds from the Federal Reserve. These are funds that are not currently in the banking system. What the Fed is doing by raising the discount rate is limiting the amount of NEW MONEY that could be put into the banking system. Because there are currently over $1 trillion excess reserves already in the banking system…this move is not really a big deal. More than anything it’s psychological.

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