sofr is the secured overnight financing rate, a benchmark for usd loans and derivatives that replaced libor—measuring overnight borrowing costs backed by u.s. treasuries.

a five-year high in the sofr-discount window spread (22 bps) points to funding market stress, with heavy fed repo usage echoing 2020's liquidity crunch during covid turmoil; if you're in finance or borrowing, it could signal tighter conditions ahead.

federal reserve bank of new york

https://www.newyorkfed.org/markets/reference-rates/sofr