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#' Effective Federal Funds Rate
#'
#' \code{FEDFUNDS} All Employees: Total Nonfarm
#'
#' @section Notes:
#' Averages of daily figures.
#'
#' The federal funds rate is the interest rate at which depository institutions
#' trade federal funds (balances held at Federal Reserve Banks) with each other
#' overnight. When a depository institution has surplus balances in its reserve
#' account, it lends to other banks in need of larger balances. In simpler terms,
#' a bank with excess cash, which is often referred to as liquidity, will lend
#' to another bank that needs to quickly raise liquidity. (1) The rate that the borrowing
#' institution pays to the lending institution is determined between the
#' two banks; the weighted average rate for all of these types of
#' negotiations is called the effective federal funds rate.(2) The
#' effective federal funds rate is essentially determined by the market
#' but is influenced by the Federal Reserve through open market
#' operations to reach the federal funds rate target.(2)
#' The Federal Open Market Committee (FOMC) meets eight times a year to
#' determine the federal funds target rate. As previously stated, this
#' rate influences the effective federal funds rate through open market
#' operations or by buying and selling of government bonds (government debt).
#' (2) More specifically, the Federal Reserve decreases liquidity
#' by selling government bonds, thereby raising the federal funds rate
#' because banks have less liquidity to trade with other banks.
#' Similarly, the Federal Reserve can increase liquidity by buying
#' government bonds, decreasing the federal funds rate because banks have
#' excess liquidity for trade. Whether the Federal Reserve wants to buy
#' or sell bonds depends on the state of the economy. If the FOMC
#' believes the economy is growing too fast and inflation pressures are
#' inconsistent with the dual mandate of the Federal Reserve, the
#' Committee may set a higher federal funds rate target to temper
#' economic activity. In the opposing scenario, the FOMC may set a lower
#' federal funds rate target to spur greater economic activity.
#' Therefore, the FOMC must observe the current state of the economy to
#' determine the best course of monetary policy that will maximize
#' economic growth while adhering to the dual mandate set forth by
#' Congress. In making its monetary policy decisions, the FOMC considers
#' a wealth of economic data, such as: trends in prices and wages,
#' employment, consumer spending and income, business investments, and
#' foreign exchange markets.
#'
#' The federal funds rate is the central interest rate in the U.S.
#' financial market. It influences other interest rates such as the prime
#' rate, which is the rate banks charge their customers with higher
#' credit ratings. Additionally, the federal funds rate indirectly
#' influences longer- term interest rates such as mortgages, loans, and
#' savings, all of which are very important to consumer wealth and confidence.(2)
#'
#' References (1) Federal Reserve Bank of New York. “Federal funds.” Fedpoints,
#' August 2007. (2) Board of Governors of the Federal Reserve System. “Monetary
#' Policy”. http://www.federalreserve.gov/monetarypolicy/default.htm.
#'
#'
#' @docType data
#'
#' @usage data(FEDFUNDS)
#'
#' @format An \code{\link{xts}} object of the Fed Funds figures.
#' \itemize{
#' \item\strong{Release:} {H.15 Selected Interest Rates}
#' \item\strong{Seasonal Adjustment:} {Not Seasonally Adjusted}
#' \item\strong{Frequency:} {Monthly}
#' \item\strong{Units:} {Percent}
#' \item\strong{Date Range:} {1954-07-01 to 2021-04-01}
#' \item\strong{Last Updated} {2021-05-03 3:23 PM CDT}
#' }
#'
#' @source Board of Governors of the Federal Reserve System (US)
#' \url{https://fred.stlouisfed.org/data/FEDFUNDS.txt}
#'
#' @examples
#' data(FEDFUNDS)
#' tail(FEDFUNDS)
#' plot(FEDFUNDS, grid.col = "white", col="green")
"FEDFUNDS"
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