The overnight rate moves in tandem will other interest rates in the economy because: Question 7 options: commercial banks will alter their prime lending rate in response to changes in the overnight rate. the bank rate is set at the ceiling of the range for the overnight rate. commercial banks find it profitable to maximize the spread between the bank and prime rate. the Bank will directly increase the prime rate in proportion to the bank rate. commercial banks are required to charge their best customers a set rate above the overnight rate