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Margin
The ratio between the available funds that an investor have, to his exposure.
Margin Call
A broker's demand on an investor to deposit additional money or securities so that the margin account is brought up to the minimum maintenance margin.
Market Maker
A market maker is a company, or an individual, that quotes both a buy and a sell price in a financial instrument or commodity, hoping to make a profit on the bid-offer spread, or turn.
Market Order
An order to buy/sell at the best price available when the order reaches the market.
Money Markets
Refers to investments that are short-term (i.e. under one year) and whose participants include banks and other financial institutions. Examples include Deposits, Certificates of Deposit, Repurchase Agreements, Overnight Index Swaps and Commercial Paper. Short-term investments are safe and highly liquid.
Money Supply
Money supply figures, and M1 specifically, once were the most important release to watch in the Treasury market, as the Fed directly targeted M1 growth in the early 1980s. The focus on money supply has long since been abandoned, however. To the extent that money supply is still monitored by the market, M2 is the favored monetary aggregate. The Fed still targets both M2 and M3 in a rhetorical sense, but these targets mean little when it comes to policy decisions. If the Fed misses its target, it is more likely to change the target than it is to change policy. In 2000, the Fed finally abandoned the targets altogether, thereby removing any remaining emphasis on this one-time star release.
MPC - Monetary Policy Committee
A committee of the central Bank of England that is responsible for the monetary policy decisions
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