Personal Finance Blog By MoneyRates - CDs
The Fed's Plan to Stop Inflation: What It Means to CD Values
February 11, 2010
Conservative investors who hold money in CDs, money market accounts, or savings accounts may feel like they're between a rock and a hard place: They by all means want higher interest rates on those deposit accounts, but they also are worried about the poor economic conditions of the country as a whole. The basic fear underlying these [...]
What Will Today's Savers Teach Their Children About CDs and Savings Accounts?
January 19, 2010
The sixth annual Wealth and Values survey from PNC bank came out recently, and it is worth a read for anyone who's interested in the savings patterns and attitudes happening today. One interesting, potentially overlooked tidbit from the survey came from this statement: "The events surrounding the recession have prompted me to have discussions with my [...]
Bloomberg vs. The Fed: What It Means for CDs, Savings Accounts, and Mortgages
January 12, 2010
Possibly the most underreported massively important financial news story occurring today pertains to the freedom of information lawsuit Bloomberg News Service has brought against the Federal Reserve. The outcome of this case, which is currently in the U.S. appeals court, could have tremendous implications for certain banks, as well as the investors who hold CDs, money [...]
Can Savers Save the U.S. Economy?
December 31, 2009
John Tamny wrote a terrific column the other day at Forbes.com noting the vital role that holders of CDs, money market accounts, and savings accounts will play as the U.S. economy recovers from its presently poor state. Contrary to popular wisdom that sees consumer spending as the best thing for the economy, therefore every time consumer [...]
FDIC Builds Banking System Credibility With Bank Seizures
December 22, 2009
It's easy to assume that a "gotcha" story like this one from Bloomberg, about the FDIC seizing bank assets, should undermine the credibility of the U.S. banking system. The story describes how a rapper's tour bus, reeking of marijuana, was taken by the FDIC and sold after the failure of an unnamed Atlanta bank. The Bloomberg [...]
Citigroup to Be Revalued On Friday
December 17, 2009
What an interesting time it is to be writing about banks. The latest: Citigroup, the stock, will be officially revalued at the close of the stock market on Friday for the purposes of the S&P Index. Longtime bank analyst Dick Bove sees this as further indication that certain major banks will become, in short order, more akin [...]
Low CD Rates Contributing to Stock Market, Gold Price Rise
December 10, 2009
Fidelity posted a strong article analyzing the connection between low bank deposit interest rates and asset value increases in the stock market and commodities, most notably gold. Dirk Hofschire, VP of Market Analysis for Fidelity, does a great job of showing how the low interest rates on CDs, savings accounts, and money market accounts, has caused [...]
Banks Not Lending Is a Good Thing for CDs and Savings Accounts?
December 8, 2009
Banks continue to be very stingy with loans. Small businesses are being particularly shut out of the credit markets, much to the dismay of the Obama Administration, which needs the unemployment rolls to slim. However, there is another perspective to be viewed on this matter: According to a provocative but sensible argument posted at Yahoo Finance, banks [...]
CDs and Wealth Preservation, and 401K Plans
December 3, 2009
Famed "money guru" Robert Kiyosaki ripped into 401K plans the other day as "the biggest scam ever." Citing facts such as the average 401K plan has not gone up at all for an entire decade, while costs on housing, food, and gasoline have gone up considerably, Kiyosaki makes a good case. Are CDs the answer for conservative [...]
First Fed Move to Combat Inflation Is a Small, Symbolic One
December 1, 2009
Chairman of the Federal Reserve Ben Bernanke has been loudly declaring that inflation is not a problem and will not be for at least a year and change. Libertarian Congressman Ron Paul vociferously disagrees. If you keep money in savings accounts, CDs, and money market accounts, this argument over inflation is most likely at the top [...]
