Federal Funds Rate

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Dictionary Says

Definition of 'Federal Funds Rate'

The interest rate at which a depository institution lends immediately available funds (balances at the Federal Reserve) to another depository institution overnight.
Investopedia Says

Investopedia explains 'Federal Funds Rate'

This is what news reports are referring to when they talk about the Fed changing interest rates. In fact, the FOMC sets a target for this rate, but not the actual rate itself (because it is determined by the open market).

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