In September, the Federal Reserve made its first interest rate cut of the year, with more cuts expected. While investing in CDs may be a good move before rates drop further, it may not be the best strategy for long-term retirement savings. CDs offer a low-risk return, but they may not outpace inflation over time. Stocks or index funds could potentially yield better returns over a 30-year period. For those nearing retirement, having one to two years of living expenses in a CD ladder could be a smart move. However, for those far from retirement, CDs may not be the best investment choice.

Read more at Nasdaq: Why I’m Not Opening Any CDs in 2025 — Even Though Rates Are Still Around 4%