By convention, the floating rate of a swap is quoted flat without basis point adjustments; e.g., LIBOR flat. The fixed rate is quoted in terms of the on-the-run T-note or T-bond yield to maturity (YTM) and swap spread. More specifically, swaps are typically quoted in two ways: as a spread (swap spread) and as an all-in rate:

• Spread: a swap quote that is given as a spread over the Treasury (or any risk-free security). Swap dealers usually quote two different swap spreads: one for transactions in which they pay the fixed rate and one in which they receive the fixed rate. For example, a swap desk may quote a 2-year transaction as 60 (+60) over the Treasury. A spread quote is usually valid for a limited period of time (minutes or longer) depending on market events and developments (crises, industry news and announcements, political developments, war, etc.)
• All-in rate: a swap quote that is offered as in all-inclusive rate (all-in rate). For example, the all-in rate for a 2-year transaction may be quoted as 7.40% (this includes the Treasury rate and the spread). Because the Treasury market moves constantly, traders may give live quotes (i.e., quotes that freshen up continuously).