basis point

noun

: one hundredth of one percent (as in the yield of an investment)

Examples of basis point in a Sentence

Recent Examples on the Web
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Last year at this time, the rate on the 30-year fixed was 37 basis points higher. Diana Olick, CNBC, 17 Dec. 2025 At the time of writing, the odds of a 25 basis point cut sit at 22%, though past meetings have seen odds shift dramatically as the meeting approaches. Eleanor Pringle, Fortune, 17 Dec. 2025 The economists project two cuts of 25 basis points each, tentatively penciled in for Fed meetings in March and June next year. Susan Tompor, USA Today, 16 Dec. 2025 Three Fed rate cuts have now resulted in the Federal funds rate being lowered by 75 basis points, and that's reverberating throughout the wider borrowing climate. Matt Richardson, CBS News, 16 Dec. 2025 See All Example Sentences for basis point

Word History

First Known Use

1962, in the meaning defined above

Time Traveler
The first known use of basis point was in 1962

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Cite this Entry

“Basis point.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/basis%20point. Accessed 19 Dec. 2025.

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