Overnight loans transaction are part of trading of
A. extensive funds
B. federal funds
C. intensive funds
D. premium funds
Answer: Option B
Solution(By Examveda Team)
Overnight loans transaction are part of trading of federal funds. Federal funds, often referred to as fed funds, are excess reserves that commercial banks and other financial institutions deposit at regional Federal Reserve banks; these funds can be lent, then, to other market participants with insufficient cash on hand to meet their lending and reserve needs.This Question Belongs to Management >> International Finance And Treasury
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