Join Early Retirement Today
Reply
 
Thread Tools Search this Thread Display Modes
Old 03-20-2019, 03:22 PM   #281
Full time employment: Posting here.
 
Join Date: Jun 2016
Posts: 672
Quote:
Originally Posted by stepford View Post
Particularly since without said 'interference' the market would likely be subject to far more drastic booms and busts as in the era prior to the Fed's existence.
There are a lot of articles disputing that claim. The Great Depression occurred 13 years after the fed was created and the fed screwed up both ends of it, being too loose in the 1920's and too tight in the 1930's.
Bernanke, who is considered a Great Depression scholar, is quoted as saying:
Quote:
Let me end my talk by abusing slightly my status as an official representative of the Federal Reserve. I would like to say to Milton {Friedman } and Anna {Schwartz}: Regarding the Great Depression, you're right. We did it. We're very sorry. But thanks to you, we won't do it again.
Bernake took too big to fail banks and merged them with brokerages, making even bigger institutions while socializing the losses.
Greenspan has admitted he got it wrong during his tenure with the "fix" for the dot com bubble setting the stage for the MBS/credit bubbles that triggered the Great Recession.
Powell just caved to another taper(+twitter) tantrum.

With fed leaders like this, I don't think the markets would do much worse.
If you want to believe in efficient markets, you got to let the markets work.
__________________

Spock is offline   Reply With Quote
Join the #1 Early Retirement and Financial Independence Forum Today - It's Totally Free!

Are you planning to be financially independent as early as possible so you can live life on your own terms? Discuss successful investing strategies, asset allocation models, tax strategies and other related topics in our online forum community. Our members range from young folks just starting their journey to financial independence, military retirees and even multimillionaires. No matter where you fit in you'll find that Early-Retirement.org is a great community to join. Best of all it's totally FREE!

You are currently viewing our boards as a guest so you have limited access to our community. Please take the time to register and you will gain a lot of great new features including; the ability to participate in discussions, network with our members, see fewer ads, upload photographs, create a retirement blog, send private messages and so much, much more!

Old 03-20-2019, 08:16 PM   #282
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
pb4uski's Avatar
 
Join Date: Nov 2010
Location: Vermont & Sarasota, FL
Posts: 21,674
I'm finding it real hard to get excited about CDs with 18 months at 2.5% and 5 year at 2.9%.... or even high quality corporates at 3% and change for 5 year. For now I'm parked to the side in VMMXX at 2.48%... IMO just as good as 18 month CDs and more flexibility to take advantage of possible future opportunities.

For each $100k invested in VMMXX at 2.48% vs a 5 year CD at 2.9% I'm giving up $420 a year for flexibility.... I can live with that.
__________________

__________________
If something cannot endure laughter.... it cannot endure.
Patience is the art of concealing your impatience.
Slow and steady wins the race.

Retired Jan 2012 at age 56...60/35/5 AA
pb4uski is offline   Reply With Quote
Old 03-20-2019, 08:32 PM   #283
Dryer sheet aficionado
 
Join Date: Mar 2019
Location: Newhall
Posts: 31
17 month NFCU cd at 3.25% up to $50K
__________________
Just another guy on the internet.
JAGOTI is offline   Reply With Quote
Old 03-20-2019, 08:58 PM   #284
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
audreyh1's Avatar
 
Join Date: Jan 2006
Location: Rio Grande Valley
Posts: 21,988
Wow - that was quite a drop in the 10 year treasury today.

All my bond funds took quite a jump in NAV this year.

Glad I had already purchased several CDs and locked in slightly higher rates.
__________________
Retired since summer 1999.
audreyh1 is online now   Reply With Quote
Old 03-21-2019, 11:49 AM   #285
Thinks s/he gets paid by the post
 
Join Date: Jun 2003
Location: Historic Florida
Posts: 3,162
USF Federal Credit Union Offers 18-Month CD Special, 3.10% APY
__________________
"Arguing with an Engineer is like rolling in the mud with a pig. Just remember that the pig likes it."
ShokWaveRider is offline   Reply With Quote
Old 03-22-2019, 07:40 AM   #286
Recycles dryer sheets
wrigley's Avatar
 
Join Date: Nov 2008
Location: Jacksonville
Posts: 372
Just got an e-mail from NFCU. They are offering a 6 month CD, no limit on deposit amount, 3.00% APY.

Mike
wrigley is offline   Reply With Quote
Old 03-22-2019, 09:52 AM   #287
Recycles dryer sheets
lucky penny's Avatar
 
Join Date: Jan 2010
Location: NYC
Posts: 172
Quote:
Originally Posted by pb4uski View Post
I'm finding it real hard to get excited about CDs with 18 months at 2.5% and 5 year at 2.9%.... or even high quality corporates at 3% and change for 5 year. For now I'm parked to the side in VMMXX at 2.48%... IMO just as good as 18 month CDs and more flexibility to take advantage of possible future opportunities. For each $100k invested in VMMXX at 2.48% vs a 5 year CD at 2.9% I'm giving up $420 a year for flexibility.... I can live with that.
VMMXX yield has been dropping slowly, now 2.45%.
lucky penny is online now   Reply With Quote
Old 03-22-2019, 09:56 AM   #288
Thinks s/he gets paid by the post
 
Join Date: Jun 2003
Location: Historic Florida
Posts: 3,162
Quote:
Originally Posted by lucky penny View Post
VMMXX yield has been dropping slowly, now 2.45%.
Still better than the Fidelity equivalent, at least it was the last time I looked.
__________________
"Arguing with an Engineer is like rolling in the mud with a pig. Just remember that the pig likes it."
ShokWaveRider is offline   Reply With Quote
Old 03-22-2019, 11:16 AM   #289
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
calmloki's Avatar
 
Join Date: Jan 2007
Location: Independence
Posts: 5,952
Was going to plug more bucks into a local CU, Columbia CU in Washington. They had 3.6% for 30 months. No more when I checked yesterday. Might do the Navy 6 month CD, but it is only $400 more/100k than leaving it in Ally at 2.2%. If there was a big opportunity in the next 6 months I would want to be ready to grab it, not play with extracting it from Navy FCU.
__________________
"Be kind whenever possible. It is always possible." Dalai Lama
calmloki is offline   Reply With Quote
Old 03-22-2019, 11:22 AM   #290
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
pb4uski's Avatar
 
Join Date: Nov 2010
Location: Vermont & Sarasota, FL
Posts: 21,674
Quote:
Originally Posted by lucky penny View Post
VMMXX yield has been dropping slowly, now 2.45%.
2.45% is the 7-day yield.... the compound yield is more relevant... it is the yield for a year, similar to an annual percentage rate.

((1+(2.45%/365))^365) -1 = 2.48%

but you're right... it has been drifting slowly downward... but still better than most 1 year or 18 month CDs.
__________________
If something cannot endure laughter.... it cannot endure.
Patience is the art of concealing your impatience.
Slow and steady wins the race.

Retired Jan 2012 at age 56...60/35/5 AA
pb4uski is offline   Reply With Quote
Old 03-22-2019, 11:51 AM   #291
Recycles dryer sheets
 
Join Date: Jan 2008
Posts: 277
RE: Ally 2 year raise your rate CD. I bought a decent amount on July 9, 2018 at 2.5% APY and can raise it 1 time in 2 years. It did go up to 2.6% a while back, but I've been holding for higher. After the Fed meeting this week I kind of doubt it will go up and who knows if it might go down. Would you pull the trigger and raise it to 2.6 now, or wait longer. Thanks.
Dave J is offline   Reply With Quote
Old 03-22-2019, 11:58 AM   #292
Moderator
Aerides's Avatar
 
Join Date: Nov 2015
Posts: 3,042
Dave I would either raise it, or convert it now to their high yield CD's, anything 12 month or longer is paying 2.75% and higher, so depending on how much/long you have, the 60 day penalty might be less than you'd stand to gain?
Aerides is offline   Reply With Quote
Old 03-22-2019, 12:03 PM   #293
Recycles dryer sheets
 
Join Date: Jan 2008
Posts: 277
Quote:
Originally Posted by calmloki View Post
Was going to plug more bucks into a local CU, Columbia CU in Washington. They had 3.6% for 30 months. No more when I checked yesterday. Might do the Navy 6 month CD, but it is only $400 more/100k than leaving it in Ally at 2.2%. If there was a big opportunity in the next 6 months I would want to be ready to grab it, not play with extracting it from Navy FCU.
If you have a SO that could get an account at NavyFed, you could each do 50k in the 17month, 3.25% special. And, it's a tiny increase in APY, but Ally has the 2.3% 11 month no penalty CD. You can break online in about 5 minutes after 6 days if better opportunity comes along. I have done that a couple times in past.
Dave J is offline   Reply With Quote
Old 03-22-2019, 12:11 PM   #294
Recycles dryer sheets
retired1's Avatar
 
Join Date: Jun 2011
Posts: 165
Nice. Opened 40 mo. special $3.75% but 6 mo. @ 3.0% is not too bad
__________________
Dreaming of ER in 2023 !!
retired1 is offline   Reply With Quote
Alaska USA FCU
Old 03-22-2019, 04:40 PM   #295
Recycles dryer sheets
4legsgood's Avatar
 
Join Date: Nov 2017
Location: Seattle
Posts: 122
Alaska USA FCU

This has restricted membership, but good for all Washington residents and more. Their CD rates have a tiered structure that's not great at lower balances but at 100k, 5 years, it's 3.55%.

Pretty good. And quite a few pocket branches, some open weekends and with notaries.
__________________
Goodwill shopper, 70/30
4legsgood is offline   Reply With Quote
Old 03-23-2019, 10:46 AM   #296
Thinks s/he gets paid by the post
 
Join Date: Jan 2005
Posts: 2,720
Just opened a 17 month CD at Navy Federal Credit Union at 3.25%.
Dreamer is offline   Reply With Quote
Old 03-26-2019, 07:50 AM   #297
Thinks s/he gets paid by the post
 
Join Date: Jun 2003
Location: Historic Florida
Posts: 3,162
City Credit Union (TX) Promotes 4-Year IRA CD, 4.00% APY
__________________
"Arguing with an Engineer is like rolling in the mud with a pig. Just remember that the pig likes it."
ShokWaveRider is offline   Reply With Quote
Old 03-26-2019, 09:54 AM   #298
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
RunningBum's Avatar
 
Join Date: Jun 2007
Posts: 7,748
Quote:
Originally Posted by pb4uski View Post
I'm finding it real hard to get excited about CDs with 18 months at 2.5% and 5 year at 2.9%.... or even high quality corporates at 3% and change for 5 year. For now I'm parked to the side in VMMXX at 2.48%... IMO just as good as 18 month CDs and more flexibility to take advantage of possible future opportunities.

For each $100k invested in VMMXX at 2.48% vs a 5 year CD at 2.9% I'm giving up $420 a year for flexibility.... I can live with that.
That's what I've been doing, but now with CD rates stabilizing or perhaps dropping, I'm locking in rates with a ladder for the next 5 years. VMMXX rates look like they could drop so the difference may turn out to be more. Of course rates could go back up again, making VMMXX more attractive. I'm hedging my bets and leaving some with VMMXX.

So I'll have a quarterly flow coming in from dividends on my mutual funds, yearly injection when CDs mature, and take from VMMXX as needed. If I include tapping my HSA at 64, I've got a plan to get me to 65 without having to sell any funds and take capital gains, and should be able to stay short of the ACA cliff. If I must, I can tap my Roth as well.
RunningBum is offline   Reply With Quote
Old 03-26-2019, 09:59 AM   #299
Full time employment: Posting here.
Carpediem's Avatar
 
Join Date: Aug 2016
Posts: 635
How quickly/often does VG change the VMMXX rate or is it completely random, depending on the events of the world?
Carpediem is online now   Reply With Quote
Old 03-26-2019, 10:02 AM   #300
Give me a museum and I'll fill it. (Picasso)
Give me a forum ...
audreyh1's Avatar
 
Join Date: Jan 2006
Location: Rio Grande Valley
Posts: 21,988
Quote:
Originally Posted by Carpediem View Post
How quickly/often does VG change the VMMXX rate or is it completely random, depending on the events of the world?
Iím sure itís daily and depends on the holdings in the fund. It just varies slowly.
__________________

__________________
Retired since summer 1999.
audreyh1 is online now   Reply With Quote
Reply


Currently Active Users Viewing This Thread: 2 (0 members and 2 guests)
 
Thread Tools Search this Thread
Search this Thread:

Advanced Search
Display Modes

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


Similar Threads
Thread Thread Starter Forum Replies Last Post
Best CD & MM Rates Thread 2018 Archive ShokWaveRider FIRE and Money 820 01-21-2019 02:26 PM
When you put 2019 as your retirement year, does Firecalc assume January 1st, 2019 ? cyber888 FIRECalc support 12 09-26-2018 09:46 AM
Noticed more people holding signs "need work or food" rayinpenn Other topics 3 05-03-2015 02:51 PM

» Quick Links

 
All times are GMT -6. The time now is 02:37 PM.
 
Powered by vBulletin® Version 3.8.8 Beta 1
Copyright ©2000 - 2019, vBulletin Solutions, Inc.