Euro Short-Term Rate: Volume-Weighted Trimmed Mean Rate

ECBESTRVOLWGTTRMDMNRT • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

1.92

Year-over-Year Change

0.05%

Date Range

10/6/2021 - 8/5/2025

Summary

The Euro Short-Term Rate (Volume-Weighted Trimmed Mean Rate) is a sophisticated monetary indicator that tracks the average short-term borrowing costs in the Eurozone. This metric provides critical insights into the underlying interest rate dynamics and financial market conditions.

Analysis & Context

This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.

Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.

About This Dataset

This economic indicator represents a refined measurement of short-term lending rates, calculated by trimming extreme values to provide a more representative view of typical market rates. Economists use this metric to understand the central bank's monetary policy transmission and overall financial market stability.

Methodology

The rate is calculated by taking a volume-weighted average of short-term lending rates, excluding the most extreme outliers to create a more robust and representative measure.

Historical Context

Central banks and financial analysts use this rate to assess monetary policy effectiveness, market liquidity, and potential economic stress in the Eurozone financial system.

Key Facts

  • Provides a refined view of short-term lending rates in the Eurozone
  • Helps economists understand underlying market interest rate trends
  • Uses a volume-weighted trimmed mean methodology to reduce statistical noise

FAQs

Q: What makes this rate different from standard interest rate measures?

A: The volume-weighted trimmed mean approach removes extreme values, providing a more stable and representative view of typical market rates.

Q: How often is this rate updated?

A: The rate is typically updated daily, reflecting real-time changes in short-term lending markets.

Q: Why do economists find this rate important?

A: It offers a more nuanced view of monetary conditions, helping to interpret central bank policy and market expectations.

Q: Can this rate predict economic trends?

A: While not a definitive predictor, it provides valuable insights into financial market conditions and potential economic shifts.

Q: What are the limitations of this rate?

A: The rate may not capture all market complexities and can be influenced by temporary market anomalies.

Related Trends

Citation

U.S. Federal Reserve, Euro Short-Term Rate: Volume-Weighted Trimmed Mean Rate [ECBESTRVOLWGTTRMDMNRT], retrieved from FRED.

Last Checked: 8/1/2025