US Effective federal funds interest rate - 1st percentile
US Effective federal funds interest rate - 1st percentile stood at 3.85% on Oct 15, 2026, according to Office of Financial Research (Short-term Funding Monitor). It is one of the indicators in the Overnight interest rate distribution table (Value · Daily), with a complete series running from Mar 1, 2016 to Oct 15, 2026. The complete series with an interactive chart, free to download.
This indicator in the Overnight interest rate distribution table
| Indicator | 15-10-2026 | 14-10-2026 | 13-10-2026 | 09-10-2026 | 08-10-2026 | 07-10-2026 | 06-10-2026 | 05-10-2026 | 02-10-2026 | 01-10-2026 | |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Effective federal funds interest rate (EFFR) | 3.88 | 3.88 | 3.88 | 3.88 | 3.88 | 3.88 | 3.88 | 3.88 | 3.88 | 3.88 | |
| Effective federal funds interest rate - 1st percentile | 3.85 | 3.8 | 3.85 | 3.85 | 3.85 | 3.85 | 3.85 | 3.85 | 3.85 | 3.85 | |
| Effective federal funds interest rate - 25th percentile | 3.87 | 3.87 | 3.88 | 3.87 | 3.87 | 3.87 | 3.87 | 3.87 | 3.87 | 3.87 |
Understanding US Effective federal funds interest rate - 1st percentile
The US Effective federal funds interest rate - 1st percentile captures the bottom boundary of unsecured overnight federal funds borrowing costs, isolating transactions executed at the lowest rates across the wholesale market distribution. It illuminates the extreme left tail of interbank lending, where specific institutions may access exceptionally cheap liquidity due to unique balance sheet structures or excess reserve positions. This metric differs from the headline median by exposing outlier borrowing costs rather than central tendencies, separating it from broader weighted averages that mask the distribution floor.
Published daily on every business day with no regular revisions, this series requires careful interpretation against the central bank target range. Analysts examining this indicator should focus on its spread relative to the headline rate to gauge market fragmentation and the distribution tail, avoiding traditional month-on-month or year-on-year comparisons. While structural seasonality is minimal, the series can experience sharp daily shifts during periods of acute reserve scarcity or excess liquidity.