Here's a statement of the obvious: The opinions expressed here are those of the participants, not those of the Mutual Fund Observer. We cannot vouch for the accuracy or appropriateness of any of it, though we do encourage civility and good humor.
If Banks perceive that interest rates will drop at some point within the next few years, they will not offer up higher rate CDs with a long duration (over 30 mos). These last few expected rate hikes would not affect that outlook.
Hope I am wr…
At Fido, lucky to see 4.8% or 4.9% non-callable 3 year CDs. They go fast, if you can even catch them.
Forget about getting much above 4% (non-callable) for any CDs dated longer than that.
Banks have made the decision that rates will come do…
"Sales, not adjusted for inflation, rose 5.8% from a year ago...." OK, so NOT adjusted for inflation, total Sales revenues are up. Not too surprising.
Wait until some of these folks start receiving their inflated NG heating bills this winter.
…
Reviewing this fund's recent performance, the NAV has been slowly eroding in 4Q 2022. Property appraisals must be trickling in and detailing lower valuations. If so, then 2023 may not be kind to this fund.
Schwab appears to offer this BlueRoc…
At Fido, no new non-callable CDs over 18 months so far. If any do pop up, I'm guessing they sell out within minutes.
The banks have scurried away like cockroaches after you've turned on the lights. And somebody flicked that giant light switch …
As an aside, can anyone explain to me why ANYONE would think it's a good idea to contribute hard-earned cash to a multi-billionaire's 'campaign'? He's got to be the greatest conman ever...
Yes, to get 40% of the population to fall for his act rep…
@Junkster Nah, nobody judging you here. Many of us appreciate your insights, regardless of where posted.
I agree with @carew388, this week's CD activity could have been FOMO. "Guilty" here of that charge, as I hurriedly bought on Thursday. …
@Sven, there was some heavy and fast CD buying this AM. It may just be a knee-jerk reaction to today's CPI.
I'm thinking Banks may cap their CD rates closer to 5% if the target Fed Funds Rate is seen maxing out at 4.50%. - 4.75%. Hope I am wrong…
@Sven, yes, looking for 3-10 year CDs, and they are all disappearing fast. Snagged some 4.95% non-callables today (3 and 4 year CD terms).
You have any other ideas/suggestions?
Today's activity is spooking me out.
At Fido, the new issue CDs available just went from 187 to 111. The issuers are pulling them from the platform. The CD % rates are dropping off at the longer end, after barely budging this past week after the latest hike.
A CPI report issued to…
Additionally, the Fed is planning to raise rate until mid 2023.
If the Fed raises at their next 4 meetings...say 50 bp (Dec 14), 50 bp (Feb 1), 25 bp (Mar 16), 25 bp (May 4).... and are finished at the beginning of May, that is 6 months from now.
…
New agency bond issues at Fido - Federal Home Loans Bank Bonds with maturities of 10 (6.41%) and 12 years (6.61%).
Federal Farm CR Bank Bond will have a coupon rate at 6.98% for a longer dated 15 year.
Would anybody consider these good inves…
Fido is offering a 5.50% 15 year (Callable) CD - Jonesboro State Bank.
The highest Non-callable CD Fido offers at the moment is 5.0% from Capital One. Its a 5 yr CD.
Note: These are New issue only, not secondary market CD offerings.
Powell - "...we think we have a ways to go. We have some ground to cover with interest rates before we get to that level of interest rates we think are sufficiently restrictive."
I recently purchased CDs from Morgan Stanley, JPM Chase, and AMEX from FIDO, but they all pay semi-annually.
I would love to buy monthly interest payout CDs, but I don't recognize most of the bank names (issuers) for those at Fido.
I also try to determine if the CD is callable CD or not callable, and I personally prefer "not callable" CDs. Finally, I prefer CDs that have monthly interest paying schedules, as I can redistribute interest for other purposes more quickly.
Y…
Who know what is leading this week’s short rally.
I think this is actually the correct answer, if translated a certain way, to the OP's question,. Its a market rally boosted by a short squeeze.
Prolly. Magic 8-ball says "Only time will tell".
Question: If earnings estimates continually get reduced, but companies clear a much lowered bar, is that really an earnings "beat"?
Well, that's where we are at.
P.S. Not a trusted opinion.
A 6% CD would certainly catch my interest, but I don't play in the secondary market.
These would be NEW ISSUE CDs at par value. Yes, Fidelity then marks these CDs to market once in your portfolio, but so what. You still get your 6%. If/when inte…
5 year CD with 6% yield reminds me of the 80’s. Think we will be in recession by then. Question is what the inflation will be like at that time frame?
The HOPE is that inflation would level off, and we get back down closer to the 3% range in the …
If you feel that the high point for interest rates is early next year, then it would make sense to lockup some longer term CDs over the next few quarters. If Fido is offering over 5% now, then is 6% far off?
I'd take a 5 year CD at 6%.
Given that the price of a barrel of oil (WTI) dropped 22.3% in the six months from March through Sept, and that overall energy prices dropped slightly (0.3%) in the same period of time,
So during that 6 month stretch, the average Retail price of a g…
Bloomberg headline today mentions that the I-Bond rate could essentially fall as low as 6.47% on November 1 (as Yogi mentions), down from 9.62%. Even if they tack on another 1% or so for the fixed rate portion (so, closer to 7.5%), Series I Saving…
@Sven et al
Available money market funds used by many at Fidelity, to park money, are:
SPAXX = 2.51% yield (no minimum)
FDRXX = 2.59% yield (no minimum)
FDZXX = 2.96% yield ($100,000 minimum)
For FZDXX (2.96% yield), the $100K min is for Taxable…
The Fed's next 2 meetings take us through Nov. 2 and then Dec. 14th. I'm assuming those are the only 2 hikes that would/could be greater than 25 bp in size.
And then we get a few smaller 25 bp hikes in early 2023.
With those assumptions, as th…
As regards I-bonds, the newly introduced bill that Devesh mentions (bold added by me) could be of interest to fans....
"The Savings Security Act would require the Treasury Secretary to raise the annual cap to $30,000 per person when the average si…
I for one would be sorely tempted by guaranteed 5% returns. I once new someone who told me that during the Volcker era she bought very long term fixed income securities of some kind (CDs? Treasurys?) that paid a double-digit rate of interest and e…
