Interest Rates, the Money Market, and the Sovereign Bond Market

This is Module 5 of the Money and Banking course.

Module 4 << | >> Module 6

Readings

The Basics of Interest Rates

The Money Market

The Sovereign Bond Market and Interest Rate Risk

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Self-Directed Learning

The readings above are an introduction to interest rates, the money market, and the sovereign bond market. To continue your own learning about this topic, search the internet for articles, other resources, and examples related to various short-term and long-term government security interest rates. See what you can learn from what others are saying about current changes in short-term and long-term interest rates.

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Discussion of Module Topic

Write down your thoughts and experiences while you’re learning. Here are some prompts to get you started for writing about the module topic:

  • What government interest rates are there?
  • Why are interest rates so important?
  • What is the money market?
  • How do interest rates relate to the sovereign bond market?