Randy Rosen Rates Quotations

The bond market, which has been more active over the last couple of months, has driven the movement in rates for the longer-term CD's (12 month and longer),

There has actually been very small to no movement in the CD rates over the last week. ... Any movement in the CD rates, especially in the CDs for 12 months or longer, would be primarily due to the fluctuations in the T-bill rate.

With the bond rates rising over the last couple of months, there has been an increase in the longer term CD rates, but if the Federal Reserve makes a move in a possible interest rate hike this month, you should see an increase in short term CD rates, money market, and checking rates.

Money market and checking account rates are more closely tied to Fed activity. Some banks are offering higher interest rates on checking and money market accounts, but these are promotional rates that are temporary and do not affect the core product interest rate.

The expectation is that, over time, interest checking and money market rates will continue to increase, especially if the Federal Reserve makes more rate increases.

The Federal Reserve raising interest rates earlier this month prompted financial institutions to slightly increase interest checking rates,

The Federal Reserve is one of the main driving forces for rates changes on checking and money market accounts. With the Federal Reserve increasing the benchmark federal funds rate a quarter-point, I anticipate checking and money market account rates to show some movement in the coming weeks.

The T-bill rates index is the primary driver for the longer term CDs, 12 month and longer,

For checking and money market rates the Federal Reserve is one of the main driving forces.

Rates for long term CDs (terms of 12 months and longer) are typically driven by the activity in the bond market. The bond market has been fairly active over the last couple of months, which is why you are seeing long term CD rates changing.

While checking and money market rates have not had significant changes recently, if the Federal Reserve makes any more changes to the Federal Funds rate, we should see some movement in checking and money market rates.