The benchmark rate set by a central bank or prevailing market loan rate, expressed as a percentage. In forex, differences in interest rates drive currency carry trades and flows. Interest rate data (and changes thereof) are key macro inputs for fundamental models. Formally, “the interest rate is the amount that a lender charges to a borrower for the loan of an asset, usually expressed as a percentage of the amount borrowed”. In trading, central-bank rate announcements from this data source can cause sharp currency moves, so robots may react to or avoid trading around such releases.

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