Will 5% APY and better CDs eventually become available on a widespread basis? So far they are certainly not ubiquitous. It will be easier to gauge such stuff when the impending midterm elections are finally behind us. I sense they are having an impact on lots of stuff. But I really don't have my head around the details.
The last two inflation prints, wholesale and consumer, earlier this month were not signalling other than "more of the same". I'm personally still waiting for the wage-push inflation driver to assert itself. It's something we experienced during the Carter years and thereafter. Only current example that comes to mind is the recent railroad workers settlement which the workers voted down and rejected unexpectedly. Secretary Walsh and POTUS himself worked hard to bring settlement about. And the railroad union leaders signed on. But the rank and file voted "no". I anticipate repetition of such as that, and not only among union workers. Not at all.
So how much more inflation will it take before banks and credit unions stop squeezing the buffalo and offer us a sane (for us) CD interest rate? And when will this finally happen? I dunno. But I believe needed clarity has no chance whatsoever to emerge until after we vote on November eighth.
