RateWatch, a premier banking data and analytics service owned by TheStreet, Inc. reported today that the interest rate on a 6 month CD decreased 0.01 percent over the previous week based on data collected from over 90,000 financial institution locations.

Bank deposits rates remain at historically low levels, as the Federal Reserve has kept its target range for the short-term federal funds rate in a range of zero to 0.25% since late 2008.  The Federal Reserve Open Market Committee in December said that it expected this target range to remain  "appropriate at least as long as the unemployment rate remains above 6-1/2 percent," and as long as inflation projections remain within 0.5% of the central bank's long-term goal of 2%.

Fourth-quarter earnings reports from money center banks and large regional banks show that the multiyear inflow of non-interest bearing deposits has continued, providing plenty of excess liquidity and making significant rate competition unlikely until the overall economy heats up further.  Longer-term CD rates have continued to decline, with the national average five-year CD rate declining by five basis points over the past two months, while the average four-year CD rate has declined by four basis points, and the average three-year CD rate has declined by three basis points.
 

NATIONAL AVERAGE RESULTS - $10K