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Supply and Demand.The interest rate is simply the price of money.

Confidence, economic conditions etc.are all relevant but these are all

just factors combining to form S+D

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Q: Which factors affect money market interest rates?
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Related questions

Which factors affect rate of interest?

Fist and fore most is NEED. Then the inflation. Third availability of money in the market i If the returns are less on the already made investments the availability of money will be less in the market. There by increase in the interest rates. Also changes in the economic condition will affect the interest rates.


What factors that affects the demand for money?

The major factors that affect the demand for money are price level, interest rates, economy, and the price of money.


How does the federal reserve reducing the interest rate affect the bond market?

The cost of borrowing money.^%


How often does the interest rate on a money market fund change?

Whether interest rates on money market accounts change, depends on several factors, and therefore, it is hard to pin down how frequently it will rise or drop. www.bankrate.com offers in depth information on rate changes for money market accounts.


What is a good money market certificate rate?

A good interest rate for a money market certificate would be 0.90% to 1.00%. There are several other factors to consider including fees and the required amount to open it.


What are money market accounts?

Money market account is an account that deal with financial matters in the money markets. Money market account usually requires a higher minimum balance or higher rate of interest in order for one to earn interest on the deposit money.


How do money accounts differ from regular savings accounts?

The means of determining interest rate. Money market account interest rates are variable and track the money market. Savings account interest rates are usually fixed.


How interest rate affect business?

Interest rates affect the value of money. Businesses depend on money. So when money has a higher value, businesses are happy. When money has a lower value, businesses are not so happy.


How can interest rate affect business?

Interest rates affect the value of money. Businesses depend on money. So when money has a higher value, businesses are happy. When money has a lower value, businesses are not so happy.


What is the definition of a money market fund?

A money market fund, is like a savings account, but it pays a little more in interest. It's tied to the stock market, but with less risk, and you're able to get about a point more in interest.


What kind of interest could I get on money market savings accounts now?

You can get below 0.1% of interest on money market savings accounts now. You can ge the rates at www.PersonalSavings.AmericanExpress.com or www.citibank.com/savings


What is the interest rate at texas capital bank?

Interest rates at Texas Capital Bank are different for different accounts. For all checking, savings, Commercial Money Market, and Money Market accounts under $25,000 it is .05%. For money market accounts with balances over $25,000, the interest rates are .10% and .15%.