Chat with us, powered by LiveChat Why are swap rates tripled on a Wednesday? – Focus Markets

Why are swap rates tripled on a Wednesday?

If you hold a position overnight on a Wednesday, the normal financing charges that are credited/debited on a daily basis are three times the normal amount. Charging triple swap on Wednesday roll-over period accounts for the settlement of trades over the weekend, as swap rates are not charged during this period due to the market being closed.