The phrase "discounting mechanism" refers to a process where the value or importance of something is reduced or disregarded. It is a way of giving less significance or worth to something. Full definition
Equity markets are historically known to be discounting mechanisms for what lies ahead.» (businessinsider.com)
Frankly, I've come to believe that the markets are no longer reliable or sound discounting mechanisms. (hussmanfunds.com)
I further urge all of the other quasi-analysts that look to silver as «nothing more than a byproduct» of giant copper, zinc, and lead mining operations might want to consider whether the notional value of the paper «hedges» carried on the books of the bullion banks might not represent the ultimate discounting mechanism. (theaureport.com)