commercial paper

noun

: short-term unsecured discounted paper usually sold by one company to another for immediate cash needs

Examples of commercial paper in a Sentence

Recent Examples on the Web
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That makes sense because commercial paper, while hardly far out on the risk curve, lacks the assurance that Treasury bonds boast. Larry Light, Fortune, 13 Apr. 2023 On two days in mid-March, less than $2 billion of commercial paper with maturities longer than 80 days was issued, according to Federal Reserve data on the short-term IOUs issued by companies to fund their operations. Eric Wallerstein, wsj.com, 15 Apr. 2023 The company is reducing its reliance on short-term commercial paper due to the increase in financing costs. Nina Trentmann, Bloomberg.com, 4 May 2023 Large enterprises regularly issue commercial paper: short-term notes that generally have a life of 30 to 90 days, which the companies expect to renew at maturity. Justin Muzinich, WSJ, 1 Mar. 2023 See all Example Sentences for commercial paper 

Word History

First Known Use

1836, in the meaning defined above

Time Traveler
The first known use of commercial paper was in 1836

Dictionary Entries Near commercial paper

Cite this Entry

“Commercial paper.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/commercial%20paper. Accessed 8 Nov. 2024.

Legal Definition

commercial paper

see paper

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