CD Rates Rise as Median Yield Climbs to 3.35%
Certificate of Deposit (CD) rates are experiencing an upward trend, with CD Valet reporting that 88% of rate changes this week were increases. The median CD rate has risen to 3.35%, breaking a months-long stall at the 3.25% level. Additionally, the number of CDs offering an APY of 4.00% or higher has grown to 8,170. The upward movement is consistent across various terms, with top-tier rates for 6-, 12-, and 24-month CDs gaining between 5 and 8 basis points over the last 30 days. This trend follows recent Federal Reserve activity; while the benchmark rate was held at 3.75% to 4.00% in late October, market futures suggest an 81% probability of another hike in December. Market analysts suggest that savers may benefit from locking in rates now rather than waiting for potential future Fed hikes. The current yield curve for top-performing CDs remains relatively flat, allowing savers to choose terms based on liquidity needs without significant yield penalties.
Topics: Certificate of Deposit (CD) rates interest rate trends savings products
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