Deals of the Week is designed to get you the best deals on the bank rate marketplace each week.
The idea is to discuss recent economic and market events that might impact bank rates over the short-term – things like the unemployment rate or consumer confidence numbers, or the latest economic outlook from the Federal Reserve.
It’s certainly not meant to discourage bank rate investors – the goal of Deals of the Week is getting you motivated about good banking values.
But given the steady stream of bad news on the economy this summer, it seems that we haven’t heard significant news affecting bank rates in a positive way.
When it comes to your bank investments, you don’t want us to sugarcoat. But it’s been a down year and since we live in the real world, there’s no sense in touting a robust economy with an avalanche of “great” bank deals.
This week, the bad news continues with the U.S. Treasury Note market, where yields on the 10-year note fell for the fourth week in a row to 2.61%, its lowest level since March 2009. That’s hurting bank rates.
“You see all the fear again that’s driving rates,” Charles Comiskey, head of Treasury trading at Bank of Nova Scotia in New York, told Bloomberg late last week. “Money’s being forced to reach for yield, growth is going to remain subdued, unemployment is going to remain high, pressure’s going to remain on the economy.”
That’s where we’re at with bank rates this week, and exactly why it’s important to find a few good places to park your money until the economic smoke clears.