liquidity

[li-kwid-i-tee]

noun

1. a liquid state or quality.

2. the ability or ease with which assets can be converted into cash.

liquidity

/ lɪˈkwɪdɪtɪ /

noun

1. the possession of sufficient liquid assets to discharge current liabilities

2. the state or quality of being liquid

liquidity

1. The condition of having enough money on hand to meet financial obligations without having to sell fixed assets, such as machinery or equipment.

Word History and Origins

Origin of liquidity¹

From the Latin word liquiditās, dating back to 1610–20. See liquid, -ity

Example Sentences

Treasury and stocks markets closed Thursday for Thanksgiving, liquidity will be thinner into the weekend, with the dollar potentially stabilizing after this week’s falls, ING’s Francesco Pesole says in a note.

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China’s property sector, once a driver of the country’s economic growth, has been in a yearslong slump, with many major property developers suffering liquidity crises and defaulting on their debts.

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Lenders to lower-income borrowers, including Bread, Upstart, and One Main Financial, face elevated exposure because of behavioral risks and liquidity stress.

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The liquidity and robustness of U.S. capital markets are due, in no small part, to the frequency and regulatory requirements of the information released by U.S. companies.

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The company reported a record adjusted gross profit margin of 13.7% for the year and $1.3 billion in cash and liquidity.

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