US Federal Reserve all out of the blue announced a closed door meeting under expedited procedure at board's office in Washington to be held today at 11:30 am Eastern Standard Time (EST). No major details are provided regarding the meeting except for one liner saying - Review and determination by the Board of Governors of the advance and discount rates to be charged by the Federal Reserve Banks.

• The discount rate is interest rate charged to commercial banks and other depository institutions on loans they receive from their regional Federal Reserve Bank's lending facility--the discount window.
   
• Federal Reserve Banks offer three discount window programs to depository institutions: primary credit, secondary credit, and seasonal credit, each with its own interest rate.
   
• Current interest rates are, 0.75% for primary credit, 1.25% for secondary credit and 0.2% for seasonal creditwhile FED funds rate is at 0-0.25%.
   
• Discount window loans are fully secured.

There has been chatter in the market that FED might hike discount rates today, which though not related may be another very strong indication that FED is ready to hike rates in December.

However, it could also turn out to be nothing much.

Nevertheless, eyes will be on the announcement, which would be published on FED website post meeting.