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Selected category: Savings

Federal Reserve Moves Fed Funds Rate to a 3.00% - 3.25% Target Image Copyright: BestCashCow

Federal Reserve Moves Fed Funds Rate to a 3.00% - 3.25% Target

The Federal Reserve has raised the Fed Funds target rate by 75 basis points to a target rate of 3.00% to 3.25%.   This is the highest it has been since 2008.

The rate represents the third successive 75 basis point rat... Read →

Is Your Online Bank Giving You Their Best Savings Rate As Savings Rates Increase? Image Copyright: BestCashCow

Is Your Online Bank Giving You Their Best Savings Rate As Savings Rates Increase?

More than a decade ago, when GMAC Bank had just rebranded as Ally Bank, they ran a series of commercials designed to build the Ally brand around integrity of treating their customers equally, and not giving preferential treatment to new ... Read →

Fed Funds Rate Raised by 75 bps to a 2.25%-2.50% Target; Savings Rates Should Get Sweeter Image Copyright: BestCashCow

Fed Funds Rate Raised by 75 bps to a 2.25%-2.50% Target; Savings Rates Should Get Sweeter

To absolutely nobody’s surprise, the Federal Reserve has voted unanimously to raise the Fed Funds rate by 75 basis points today, setting a Fed Funds rate target of 2.25% to 2.50%.  The move follows a similar 75 basis poin... Read →

Cash is Trash No More - Federal Reserve Moves Fed Funds Rate Up by 75 Basis Points to A Range of 1.50% - 1.75% Image Copyright: BestCashCow

Cash is Trash No More - Federal Reserve Moves Fed Funds Rate Up by 75 Basis Points to A Range of 1.50% - 1.75%

The Federal Reserve has finally become much more serious about controlling inflation.   Inflation has gotten so hot by any measure, including core CPI, that Jay Powell can no longer keep his head in the sand.   His Fe... Read →

Federal Reserve Moves Fed Funds Rate up By 50 Basis Points to a Fed Funds Target of 0.75% to 1.00% Image Copyright: WSJ

Federal Reserve Moves Fed Funds Rate up By 50 Basis Points to a Fed Funds Target of 0.75% to 1.00%

The Federal Reserve has finally begun to act according to its mandate to maintain price stability, but inflation is already running rampant.  Today’s move is just the beginning of moves that will be necessary.  The Fed&rs... Read →

Fed Liftoff Day is Here Image Copyright: BestCashCow

Fed Liftoff Day is Here

The Federal Reserve has raised interest rates by 25 basis points today, moving the Fed funds target rate off of zero to a target of 0.25/0.50.   The target rate had been at zero since COVID-19 arrived on US shores more than two... Read →

Four Steps to Prepare for A Russian Cyberattack on the US Financial System Image Copyright: Moscow Times

Four Steps to Prepare for A Russian Cyberattack on the US Financial System

I practiced law in Moscow in the 1990s.   While there, I learned that Russian law is an oxymoron.   I also learned a lot about Russia and its strengths.  I am certain that in spite every precaution that US financ... Read →

Fed Ends January Meeting Planning to Raise Rates, but Not Until March Image Copyright: BestCashCow

Fed Ends January Meeting Planning to Raise Rates, but Not Until March

The Federal Reserve is going to be raising rates in 2022.  This action is desperately needed to fight inflation.  But, it isn’t ready to act now.

It has been clear that Federal Reserve Chairman Jay Powell has be... Read →

2022 Is Signaling Wealth Preservation Mode Image Copyright: BestCashCow

2022 Is Signaling Wealth Preservation Mode

I am old enough to remember October 1987.   I was a college freshman then and I remember my floormates calling their parents to inquire whether they would be able to stay enrolled in college.

I also have vivid memorie... Read →

Federal Reserve Announces Slow Tapering, Fails to Provide Guidance on Raising Rates, Causes Loss of Purchasing Power for Savers Image Copyright: BestCashCow

Federal Reserve Announces Slow Tapering, Fails to Provide Guidance on Raising Rates, Causes Loss of Purchasing Power for Savers

The Federal Reserve has tapered its bond buying, beginning to contract its $120 billion monthly bond buying purchases that propped up the economy after COVID-19 struck in March 2020.  The bond buying will be decreasing by about $15 ... Read →

Bask Bank Launches New Online Savings Account Paying 0.60% APY, but There is a Catch Image Copyright: BestCashCow

Bask Bank Launches New Online Savings Account Paying 0.60% APY, but There is a Catch

Bask Bank, a division of Texas Capital Bank, has launched a new online savings account.   The account, called an Interest Savings Account, is paying 0.60% APY.   The rate is clearly among the be... Read →

What I Still Remember 20 Years After September 11, 2001 Image Copyright: BestCashCow

What I Still Remember 20 Years After September 11, 2001

I was not in New York on 9-11.   I was living in London at the time and I was in my office.   I remember a woman coming down the hall and saying: “Aren’t you from New York?” and then telling me that ... Read →

Why It Might Not be Such A Bad Idea to Earn 0.40% On Your Money Right Now

As I write, in July 2021, we are living in a strange time.   We are facing extraordinary risks to our democracy in the US, risks to our health as COVID-19 variants appear, and risks to our environment as it becomes increasingly... Read →

Fed Leaves Fed Funds Target Rate at 0 to 0.25%, but Pencils In Two Hikes for 2023 Image Copyright: BestCashCow

Fed Leaves Fed Funds Target Rate at 0 to 0.25%, but Pencils In Two Hikes for 2023

The Federal Reserve today continued with its current rate stance and its current bond buying program, but is now indicating that it will back away from these easy-money policies in 2023 as inflation surges and growth accelerates.

... Read →
Major Banks are Just Awash in Cash Image Copyright: BestCashCow

Major Banks are Just Awash in Cash

The Wall Street Journal has an interesting article today which highlights how banks have become so completely awash in deposits that they a... Read →