Decrease in money market account rates after Fed cuts federal funds rate

From Yahoo Finance: 2024-10-18 11:29:04

The Federal Reserve raised its benchmark rate 11 times between March 2022 and July 2023, leading to a sharp increase in money market account interest rates. However, the Fed recently decreased the federal funds rate by 50 basis points in September, causing deposit rates, including money market account rates, to start declining. Top high-yield money market accounts are offering over 5% APY, significantly higher than the national average of 0.64%. It is crucial to compare rates and find the best option for your savings. Online banks and credit unions are known for providing competitive rates and fewer fees, making them great places to open money market accounts.



Read more at Yahoo Finance: Money market account rates today, October 18, 2024 (up to 5.05% APY return)