Articles

All Articles

Federal Reserve Unveils 50 Basis Point Cut: Fed Funds Target Now at 4.75 to 5.00% Image Copyright: BestCashCow

Federal Reserve Unveils 50 Basis Point Cut: Fed Funds Target Now at 4.75 to 5.00%

The Federal Reserve acted as expected to lower the benchmark Fed funds rate for the first time in this cycle. Market observers had fully expected a rate cut going into the September 2024 meeting, but had been divided between a 1/4 point and... Read →
July 2024 Fed Meeting Ends With The Fed Funds Rate Still At 5.25% to 5.50%, But Treasury Yields Move Sharply Lower Image Copyright: BestCashCow

July 2024 Fed Meeting Ends With The Fed Funds Rate Still At 5.25% to 5.50%, But Treasury Yields Move Sharply Lower

The Federal Reserve ended its July meeting by issuing a statement that adjusted its rate stance. Whereas the Fed had previously indicated that it was principally biased towards fighting inflation, its new statement indicates that there has... Read →
Fed Ends July 2024 Meeting and Remains Unwilling to Lower Rates Image Copyright: BestCashCow

Fed Ends July 2024 Meeting and Remains Unwilling to Lower Rates

The Federal Reserve has finished its June 2024 meeting, leaving interest rates at a 5.25% to 5.50% target. While recent CPI numbers show that the pace of inflation has declined, the Fed is concerned that more progress needs to... Read →
Why Would the Federal Reserve Lower Interest Rates Now? Image Copyright: BestCashCow

Why Would the Federal Reserve Lower Interest Rates Now?

Market expectations as we began 2024 were that the Fed would lower interest rates several times this year (beginning early in the year). Instead, inflation measures for January and February were elevated and the Fed has maintained the... Read →
Some Common Misperceptions About FDIC Insurance Image Copyright: BestCashCow

Some Common Misperceptions About FDIC Insurance

I speak with lots of people from many walks of life about the US banking system, about the safety of banks and deposit protection.   Virtually everyone is generally familiar with FDIC insurance. Federal Deposit Insurance... Read →
New FDIC Rules for Trust Accounts Begin Today Image Copyright: BestCashCow

New FDIC Rules for Trust Accounts Begin Today

The FDIC has implemented new coverage rules that take effect today and only affect trusts accounts that have over $250,000 deposited at a single bank. FDIC rules had previously permitted a single trust account (such as a payable on death... Read →
Adding a Financial Advisor is Always a Bad Idea, But Especially Now Image Copyright: BestCashCow

Adding a Financial Advisor is Always a Bad Idea, But Especially Now

Unless you are ultra-wealthy, the idea that you or anyone needs a financial advisor is completely obsolete. It is so Twentieth Century. Online banks make both equity and debt markets complete accessible, usually enabling you to trade for... Read →
Interest Rates Are Headed Down Later in 2024, But Your Savings Account Interest Rate Should Not Have Fallen Yet Image Copyright: BestCashCow

Interest Rates Are Headed Down Later in 2024, But Your Savings Account Interest Rate Should Not Have Fallen Yet

At the Fed’s March 2024 meeting Jerome Powell reaffirmed that the Fed is not cutting interest rates until it has further information and continued to guide towards three quarter-point cuts in the Fed Funds rate before the end of... Read →
The Federal Reserve End March 2024 Meeting Again Holds Interest Rates at 5.25-5.50% Target Image Copyright: BestCashCow

The Federal Reserve End March 2024 Meeting Again Holds Interest Rates at 5.25-5.50% Target

The Federal Reserve ended its March meeting leaving interest rates at their current target. The members unanimously indicated that they anticipate three quarter-point rate cuts before the end of 2024. Given that January and February... Read →
Federal Reserve Maintains Rates at 5.25% to 5.50% Target, Refuses to Guide When It May Cut Image Copyright: BestCashCow

Federal Reserve Maintains Rates at 5.25% to 5.50% Target, Refuses to Guide When It May Cut

The Fed ended its January 2024 FOMC meeting by declining to specify when it may begin lowering the Fed Funds target rate.

Read →

3 Simple Reasons to Never Ever Buy a Brokered Certificate of Deposit

On and off from February to May of 2023, US financial markets witnessed something that they ordinarily do not experience. We saw 1-year and 18-month brokered CDs rise to levels that were competitive with 1-year or 18-month online CDs, as... Read →
Do US Treasury Bonds Serve a Purpose For Depositors? Image Copyright: BestCashCow

Do US Treasury Bonds Serve a Purpose For Depositors?

With the recent and pronounced move in the Treasury curve, there has been a lot of discussion in the mainstream financial media suggesting that depositors look to US Treasury bonds. The simple reality is that short-term US Treasury bonds... Read →
Federal Reserve Holds At 5.25% to 5.50% Target and Says Inflation has Eased Image Copyright: BestCashCow

Federal Reserve Holds At 5.25% to 5.50% Target and Says Inflation has Eased

Today's Fed announcement and Chairman Jerome Powell’s press conference marked the Fed’s first acknowledgement that inflation is more contained. After having been on hold for four of the last five meetings, the Federal... Read →
Dimon on Crypto: "If I was the Government, I'd Close it Down" Image Copyright: JP Morgan Chase

Dimon on Crypto: "If I was the Government, I'd Close it Down"

Chase CEO and Tufts alumnus Jamie Dimon has been skeptical of bitcoin and crypto for some time. While other major banks have made forays into what Charlie Munger termed "trading turds", Dimon has kept his bank out of it. The... Read →
Forbright Bank’s Latest Deal Shows Just How Broad Climate Funding Can Be Image Copyright: BestCashCow

Forbright Bank’s Latest Deal Shows Just How Broad Climate Funding Can Be

I have been a keen observer, advisor and investor in the climate space for many years. I am a believer that the lowest hanging fruit in our decarbonization efforts revolve around investments related to energy generation through the... Read →