This chart shows the contribution of the interbank cost of borrowing spread to the CFSI. This spread is used to measure counterparty risk and is used to measure the degree of apprehension with which banks loan to one another. It is calculated as the difference between the 3-Month LIBOR and the Federal Funds Rate.
Release: Cleveland Financial Stress Index
Federal Reserve Bank of Cleveland, Contributions to the Cleveland Financial Stress Index: Interbank Cost Of Borrowing [IBCOBD678FRBCLE], retrieved from FRED, Federal Reserve Bank of St. Louis https://research.stlouisfed.org/fred2/series/IBCOBD678FRBCLE, February 11, 2016.