Federal Reserve Pauses Interest Rate Hikes, CD Rates Expected to Decrease

Current highest CD rate stands at 5.76% APY, with financial advisors recommending savers to lock in high rates before potential decreases.

The Federal Reserve has paused interest rate hikes for the third consecutive time, leading to speculation that CD rates may begin to decrease.
The highest CD rate currently available is 5.76% APY, offered by TotalDirectBank for a 6-month term and Dow Credit Union for 13 months.
Despite rate declines in longer-term certificates, some good buys remain, with a 2-year CD still offering 5.50% APY.
Federal Reserve Chair Jerome Powell has indicated that rate cuts may occur in the future, which would likely lead to a softening of CD rates.
Given the potential for rate decreases, financial advisors are recommending savers to lock in current high CD rates.