Making investment decisions even more difficult 3 month CD rates have now moved as high as 4.45% today (on Fidelity)–they had recently been at 4.40% after moving from 4.35% were they had been stuck for some time.
Will they move to 4.50% soon? No one knows for sure, but if congress can’t get a grip on the deficit we certainly could see 4.50% or even higher.
4.50 from over a half dozen 3 month on Friday. I’d imagine E*trade had them too.
Early this year when I couldn’t make up my mind with maturing treasuries, I just went with some callable 10 year CDs from Jonesboro St. Bank at 5% as they were monthly payers. Even if they get called after 6 months, well I beat the treasuries by 70bps. If they never get called, 5% is not too shabby for FDIC.
Now I see MS has a callable 5 year(12/25) for 4.75%. Anybody use longer dated callable CD’s to squeeze out higher rates? I guess if I don’t need the funds, in theory I can go with a safer (JPM or US Bancorp) preferreds for considerably higher yield. All this gloom and doom talk of the bond market about to break puts such a damper on perpetuals. Banks have less than half a trillion of unrealized losses from their underwater bonds. I have tolerable losses.
NFCU 10mo CD 4.35% $50min, allows you to add money throughout up to $250k.
Better CD yields generally on E*trade Tim, especially from JP Morgan Chase.
ET has two at 4.45% Chicago-India bank, and and Mizrahi ( Israel based)
Not seeing JPM at all
FIDO 4.35% is the high