Definition of 'Cabinet Crowd'
Members of the NYSE who typically trade in inactive bonds. The cabinet crowd is made up of a relatively small group of traders and investors who deal in inactive fixed-income securities. These bonds are inactive due to the fact that they are not actively traded and, thus, are deemed more illiquid, causing bid-ask spreads to be much wider than active or more liquid bonds.
Also known as the "inactive bond crowd" or "book crowd."
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