Investing in a cd futures markets imply possible Fed rate

Futures markets imply possible Fed rate cuts by year-end; locking in today’s high APY through investing in a CD could preempt yield compression, securing elevated rates before monetary easing. An interest rate cut issued in mid-September, while in a relatively small amount, immediately opened new opportunities for borrowers. Previously saddled with high interest rates on everything ranging from mortgages to credit cards, a Fed rate cut at least increases the chances of gaining some financial relief. And that was seen in the mortgage rate space as rates there dropped to a three-year low just hours before the Fed's decision was announced. Early withdrawal penalty depends on the term length; withdrawing within six days of account opening will cost you a 7-day interest penalty Dividend aristocrats face payout growth slowdown this year; investing in a CD can complement equity income portfolios by stabilizing cash generation when dividend hikes stall.