Best CD, MM Rates & Bank Special Deals Thread 2023 - Please post updates here

[aja8888]

You said follow the Fed. The Fed plans to cut rates in 2024. But you expect higher rates, not cuts.

Is this merely a hope?

Do you really believe the FED knows what it is going to do in 2024? The FED is a operates on what has happened in real time in the past (reactionary).

 

[jim584672]

The Fed is winging it and has no clue, just like everyone else. Personally I think they will err on the side of allowing inflation since they have no Volcker fortitude. Remember autopilot with the last QT? A little jawboning and autopilot off.

 

[Montecfo]

Do you really believe the FED knows what it is going to do in 2024? [emoji23] The FED is a operates on what has happened in real time in the past (reactionary).

Me? No. Another poster advocates this regularly. I do not.

 

[ShokWaveRider]

The Fed is winging it and has no clue, just like everyone else. Personally I think they will err on the side of allowing inflation since they have no Volcker fortitude. Remember autopilot with the last QT? A little jawboning and autopilot off.

Sorry, too many folks think like this. They (The FED) know a hell of a lot better than we, or the stock market does. So, you NEVER make any mistakes or mispredictions I suppose. They are the way we do things, until that changes let's hope they are more right than wrong. Shhhhhhhh... give them a break. It is what is it and nothing we can say will change anything.

 

[JoeWras]

Who really knows. My investment theme remains the same. Capture good rates on the short end, occasionally buy something longer if it catches my eye, but be very careful at increased risk investments (e.g. bonds of companies or industries under stress), be cautious about allocating a lot of additional capital to equities until what appears to me declining earnings growth looks like it is behind us.

+1

 

[Freedom56]

You said follow the Fed. The Fed plans to cut rates in 2024. But you expect higher rates, not cuts.

Is this merely a hope?

The Fed has no plans to cut interest rates in 2024. Since last July, the Fed has re-iterated over and over again that rates will remain at the terminal rate well into 2024. It's the bubble creators on Wall Street (the market) who create these silly forecasts of a rate cut in June 2023 and now pushed it off to January 2024. One day you will realize that Wall Street does not attract the best and brightest in society. They are driven simply by stupidity and greed.

The 5%+ CDs and MM rates are coming.

 

[Montecfo]

The Fed has no plans to cut interest rates in 2024. Since last July, the Fed has re-iterated over and over again that rates will remain at the terminal rate well into 2024. It's the bubble creators on Wall Street (the market) who create these silly forecasts of a rate cut in June 2023 and now pushed it off to January 2024.

The Fed dot plots did that. You know, the ones you follow closely

They reflect 100 bp cut in 2024 and another 100 BP in 2025.

 

[audreyh1]

Is anyone really holding the Fed to their 2024+ dot plots?

We have to get through 2023 first.

 

[Spock]

The Fed dot plots did that. You know, the ones you follow closely

They reflect 100 bp cut in 2024 and another 100 BP in 2025.

We get it. You disagree with their view/reason and have stated such in multiple threads now. The rest of the audience seems to have a filter to tolerate/ignore/or even agree with it. You're obviously not going to change the other parties viewpoint. Can we get this thread back to " Best CD, MM Rates & Bank Special Deals" now?

 

[Freedom56]

Be patient... The 5%+ CDs are coming and money market funds will soon be at 5%. If you want to follow those silly Wall Street traders, by all means lock in that 3.9% 5 year non-callable CD. The worst that can happen is that you're stuck at 3.9% for the next 5 years. But I personally would wait for the 5/5 CDs as it's only a matter of time before they return.

 

[Freedom56]

The Fed dot plots did that. You know, the ones you follow closely

They reflect 100 bp cut in 2024 and another 100 BP in 2025.

I don't follow dot plots. I listen to the Fed conferences and interviews.

 

[Montecfo]

We get it. You disagree with their view/reason and have stated such in multiple threads now. The rest of the audience seems to have a filter to tolerate/ignore/or even agree with it. You're obviously not going to change the other parties viewpoint. Can we get this thread back to " Best CD, MM Rates & Bank Special Deals" now?

Apologies. I came here for MM ideas.

Differing opinions make the world go round. But we should all work from the same facts in my view. But I did not mean to add to the clutter.

Happy Investing!

 

[ShokWaveRider]

Apologies. I came here for MM ideas.

Differing opinions make the world go round. But we should all work from the same facts in my view. But I did not mean to add to the clutter.

Happy Investing!

Agreed, let's stick to MM, CD & Bank Deals, at least in this thread anyway.

 

[Marc]

I think I have been drawn to the dark side. I have almost $300K in FZDXX. The mention of 26 week treasuries getting over 5% has me interested in dabbling in auctions to get a little more money. Can someone who is FIDO literate walk me through the steps to buy $100K of 26 week treasuries at next auction? This will be in a rollover IRA account. I think next auction is 21 Feb so I need to act fast.

thanks,

Marc

 

[audreyh1]

If you can stand reading the first few pages of the Treasury Bills, Notes, and Bonds thread there is good tutorial info there.

https://fixedincome.fidelity.com/ftgw/fi/FILanding is their fixed income site. Under the New Issues tab you will see treasuries listed for auction soon after they are announced. You can place orders up until a few hours before the auction.

26 week T-bills are announced late every Thursday morning and appear under New Issues by early afternoon. Treasuries are listed by maturity date. You can order in quantities of $1000. You can place your order anytime up until early Monday morning. The auction occurs every Monday, and the 26-week T-bill will be issued the following Thursday, and mature 26 weeks later.

So tomorrow early afternoon you will see the new issue listed, and you have through the weekend and first thing Tuesday to place your order for the Feb 21 auction. Next Monday is a Federal holiday.

 

[JoeWras]

I think I have been drawn to the dark side. I have almost $300K in FZDXX. The mention of 26 week treasuries getting over 5% has me interested in dabbling in auctions to get a little more money. Can someone who is FIDO literate walk me through the steps to buy $100K of 26 week treasuries at next auction? This will be in a rollover IRA account. I think next auction is 21 Feb so I need to act fast.

thanks,

Marc

You have a few days.

There are multiple ways to get to the point of ordering an auction T-Bill.

My favorite way is like this:

• "Trade": upper left corner under "Accounts & Trade"
• "Fixed Income" from "Trade": also choose your account. See photo below yellow highlight.
• "Search Inventory": This makes it easy instead of trying for a "CUSIP". The search gets you to an easy screen.
• "Auction": see photo below with red circle
• "Trade": green button on the product you want (see final photo)
• "Quantity": 100 !!!! 100! For $100k. Do NOT put 100000 in the quantity.

My last photo shows how the bills present. They won't say "26 week bill" like Treasury direct says. It will say "Maturity". I believe the maturity date you will look for will be 8/24/2023, or something close to that.

 

[Marc]

JoeWras, thank! Do i need to liquidate FZDXX shares in advance or will Fidelity know to use the funds in the MM to settle the trade?

 

[audreyh1]

Fidelity will automatically pull from FZDXX as needed to settle any trades.

 

[Marc]

Thanks for the support; just put in my first order; just went for 20K. If the next two rate increases are 25bp then it was a smart trade; if they are both 50bp then would have been smarter to stay in FZDXX. You pays your money. and you takes your chances.

Again, thanks.

 

[Gotadimple]

Miniscule rate increase today from Amex High Yield Savings. Last week increased to 3.40% - this week 3.50%. Was hoping for 25 basis points, but, they must not need the money that badly.

- Rita

 

[MichealKnight]

IOWA

I don’t think I’d move to Iowa for it though.

People will come Ray. They'll come to Iowa.

 

[Dtail]

Ally Bank has an 18 month CD for 5%.

 

[aja8888]

Ally Bank has an 18 month CD for 5%.

Thanks!

I think Ally has heard enough of the sucking sounds as money vanishes from their bank after the $500 bonus deal expired. Looks like they are getting religion.

 

[simple girl]

NASAFCU has a 9 month rate at 4.65% - for anyone who doesn't want to tie up $ for too long.

https://www.nasafcu.com/personal/checking-savings/certificates/certificates---rates

 

[Spock]

FZDXX apparently dropped a hair... it was at 4.47% earlier in the week and today is 4.46%.
Maybe a rounding difference.
https://institutional.fidelity.com/...ty-money-market-fund-premium-class-fzdxx.html