For the first time since the Eleventh Federal Home Loan District Cost of Funds Index began its current streak of increases in May 2004, the index has risen over 20 basis points in a single month.The index as calculated by the Federal Home Loan Bank of San Francisco stood at 3.604 in February, up over 25 bps from 3.347% in January. It was one year ago, in February 2005, that the COFI index recorded its second-largest rise in the current upward trend, 13 bps. The last time the index was in the area of 3.6% was October 2001. Since May 2004, COFI has increased by nearly 190 bps. In contrast, the Federal Reserve Board has raised the federal funds target rate from 1.00% in June 2004 to 4.75% at its most recent meeting, a rise of 375 bps.
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