Weekly Rundown of the Top Savings and Money Market Rates

Weekly average savings and money market rates barely moved this week. The best interest rates available are also stable, but during this time long term United States Treasury yields are soaring. Yields are moving higher because the markets believe the Federal Reserve will stop buying long term Treasuries.

Quantitative Easing's Affect on Interest Rates

The Federal Reserve has been selling short term Treasuries and buying long term Treasuries to keep long term interest rates low. This policy, known as quantitative easing (QE), is the third round of easing the Federal Reserve has embarked on. The markets are anticipating an end to QE3 due to strong economic data released the past month.

Ending quantitative easing won't send short term or long term deposit rates higher. Until the Federal Reserve increases the fed funds rate, deposit rates will remain low. The Fed will increase the fed funds rate sometime in the middle of 2014 once the unemployment rate falls below their target of 6.5 percent.

Average Interest Rates This Week

Weekly Rundown of the Top Savings and Money Market RatesSavings rates and money market rates on account balances of at least $10,000 are averaging 0.47 percent, unchanged from last week's average rate. Account balances of at least $25,000 are averaging a rate of 0.61 percent, up from the prior week's average rate of 0.59 percent. Interest rates on account balances of at least $50,000 are averaging 0.66 percent, down from last week's average rate of 0.67 percent.

Below are lists of the best savings rates and best money market account rates today:

Best Savings Rates June 11, 2013

  1. Barclays Bank Savings Rate 0.90%

  2. FNBO Direct Savings Rate 0.85%

  3. Colorado Federal Savings Bank Savings Rate 0.85%

  4. Ally Bank Savings Account Rate 0.84%

  5. Discover Bank Savings Rate 0.80%

Best Money Market Rates June 11, 2013

  1. EverBank Money Market Account APY 0.89%

  2. Mutual of Omaha Bank Money Market Rate 0.85%

  3. GE Capital Retail Bank Money Market Account Rate 0.85%

  4. Ally Bank Money Market Rate 0.84%

  5. ableBanking, a division of Northeast Bank MMA Rate 0.80%

Author: Brian McKay
June 11th, 2013