Definition of Discount market:
The section of the financial market which deals in discounted bills of exchange.
UKs short-term money market comprising of banks, discount houses, and money brokers (called bill brokers) who discount bills of exchange (including treasury bills). Also called bill market, it is an important channel through which bank of England controls the amount of money in the financial system.
How to use Discount market in a sentence?
- Bank Rate had a direct influence on interest rates in the domestic banking system, being the rate at which the Bank of England, acting as lender of last resort, would normally lend to members of the discount market against security.
Meaning of Discount market & Discount market Definition