Letter: Valuing bank stocks when interest rates are surging
From Cristiano Zazzara, Adjunct Professor of Finance, New York University Stern School of Business, New York, NY, US
Read it in your languageMachine translation by Google of the publisher's page
Explained in this story
Interest rate
The price of borrowing money, expressed as a percentage of the amount borrowed. A central bank sets a benchmark rate that other rates follow.
It decides how much people pay on loans and mortgages and how much savers earn, and it is the main tool for fighting inflation.
More about Interest rate