US FED Broad Overnight Financing Interest Rate (OBFR)
US FED Broad Overnight Financing Interest Rate (OBFR) stood at 3.88% on Oct 15, 2026, according to FRED (Federal Reserve Bank of St. Louis). It is one of the indicators in the FED interest rates 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 FED interest rates table
| Indicator | 19-10-2026 | 18-10-2026 | 17-10-2026 | 16-10-2026 | 15-10-2026 | 14-10-2026 | 13-10-2026 | 12-10-2026 | 11-10-2026 | 10-10-2026 | |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Overnight bank funding interest rate (OBFR) | 3.88 | 3.88 | 3.88 | ||||||||
| Interest rate on reserve balances (IORB) | 3.9 | 3.9 | 3.9 | 3.9 | 3.9 | 3.9 | 3.9 | 3.9 | 3.9 | 3.9 | |
| Target interest rate - upper bound | 4 | 4 | 4 | 4 | 4 | 4 | 4 | 4 | 4 |
Understanding US FED Broad Overnight Financing Interest Rate (OBFR)
The policy interest rate in the United States reflects the cost of unsecured overnight borrowing across a broad scope, combining federal funds transactions with certain US dollar deposit borrowings at banking offices operating in the US, as published by the Federal Reserve. Because of its wider coverage, this indicator is not identical to the effective federal funds rate, although the two series generally move closely together. It also differs from the secured overnight financing rate by not relying on repos and not using securities as collateral. The value serves as a representative rate, while underlying trading scale is monitored through a separate volume indicator.
The gap between the overnight bank funding rate and the effective federal funds rate can suggest cost differences across unsecured borrowing segments, but small differentials should not be over-interpreted. Comparisons with the previous day align with the rhythm of the overnight market, whereas year-on-year comparisons typically hold less value because holidays, end-of-period dates, and transaction structures vary across years. When a jump occurs, one should review overnight bank funding rate volumes, effective federal funds rate levels, and target corridor developments to distinguish policy impacts from compositional shifts in transactions. Revisions to transaction data, if any, may also alter historical values slightly.
Frequently asked questions
- In what way is OBFR broader than EFFR?
- OBFR covers certain overnight deposit borrowings in addition to federal funds transactions.
- Is OBFR secured?
- No. This is an unsecured overnight borrowing measure, unlike the repo interest rate.
- What does the spread between OBFR and EFFR indicate?
- It may reflect differences in participants and funding costs across segments, but volume should be reviewed before drawing conclusions.