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federal funds rate

(FINANCE) the rate at which Federal Reserve System member banks lend reserves to each other. It is the one interest rate actually set by the Federal Reserve Board. The other rates, such for treasury securities, are set by auction.

Bank reserves are a fixed percentage of deposits held in reserve against sudden demand by the depositor. In some cases bank reserves take the form of deposits with a Federal Reserve Bank, like the Federal Reserve Bank of New York.* Such deposits do not earn interest for the member bank, unless they are re-lent out at the federal funds rate.

"Federal funds" refers to emergency lending (overnight) among member banks so that the borrower can meet its reserve requirements. Reserves may include deposits with a Federal Reserve Bank which can be loaned by the member bank to another member bank (thereby earning interest).
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* Member banks in the FRS are regular national/state chartered banks, or investment banks. The FRS itself includes 12 Federal Reserve Banks, which actually do the financial work of the FRS.
The European version of the federal funds rates is the London interbank offered rate (LIBOR).
by Abu Yahya September 4, 2010
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Federal Reserve Bank

(ECONOMICS) Any of the 12 constituent district banks of the Federal Reserve System. Federal Reserve Banks may be referred to either by the number of the district they serve (e.g., 12th FRB) or by the city in which they are headquartered (e.g., FRB of San Francisco).

Representatives of the FRB's are eligible to serve on the Federal Open Market Committee (FOMC), the committee that actually administers monetary policy through sales or purchases of treasury securities.

The Federal Reserve Bank of New York (2nd FRB) is by far the most important of the 12 district banks. Each bank holding company is likely to have a subsidiary in NYC, and the 2nd District is uniquely guaranteed a seat on the FOMC. The other 11 rotate, with 4 taking a year-long turn at the FOMC at any given time.
The Federal Reserve Bank of New York has historically supplied the secretaries of the Treasury or else the chairmen of the Federal Reserve Board.
by Abu Yahya May 5, 2010
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Related Words

Federal

Federal or Federalè is a term used to describe a female with a large buttocks
Hey Billy, you see gina over there? She has the federal.
by Federalè extraordinaire August 7, 2018
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Otherwise known as WWFISSHM style:
Before reaching climax (in any orifice) you must carry out every devestating wrestling move known to man, pin her, win the count and do an impression of the entire crowd cheering you on and then slap her and go to sleep.
1:What happened to xxxxx at the party last night? She came out in a wheelchair!
2:Yeah my buddy xxxxx carried out a wwfisshm (World Wrestling Federation International Superstar Smash Hit Megastar Style) on her.
by Steven Redknapp October 17, 2007
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Fedge

The act of one replacing ones tampon with another.
Ben: 'Where did Claire go?'
Dan: 'I dunno, probably for a Fedge...'
by Ned2507 August 1, 2007
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Spam Fudger

A spam fudger is a person who engages in eating shit off the floor while furiously masturbating. The climax comes when the man reaches an orgasm and has shit all over his face.
I was walking home last nite and saw a spam fudger, it was sooo cool

that guy was spam fudging so hard it looked awesome
by Charlie Cranmer April 3, 2008
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feder-level

Originates from the surname of current #1 tennis player Roger Federer.

1. Used to describe something that is top-notch, the best something can possibly be in its category.
2. To have complete and total dominance over something.
3. To be totally crushed by someone who is undoubtedly better than you.
1. Guy #1: Dude, check out that girl.
Guy #2: Damn, she's totally feder-level.
2. Microsoft's control over computers is really feder-level.
3. Yo man, the Devils feder-leveled the Lightning last night.
by s.y. December 14, 2008
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