The fed funds target and what it represents

What is the federal funds rate currently, and what does it actually measure?

Know the current target range and what it is. The fed funds rate is the overnight rate at which US banks lend reserve balances to each other; the Federal Reserve's FOMC sets a target range and steers the effective rate into it using interest on reserves and its reverse-repo facility. It anchors short-term dollar interest rates and is the Fed's main monetary-policy tool, so check the latest decision before the interview.