Short term interest rates have been very interesting of late. If you recall – in Jan the market was pricing in 6 interest rate cuts in 2024. After this week’s US inflation data however, the market is now only pricing in 2 interest rate cuts in 2024. This has led to a sharp increase in long term interest rates – Singapore 10 year yields have gone from 2.6% in Jan to almost 3.4% today. Despite all that, bank fixed deposit interest rates keep dropping. While stocks / REITs have been shrugging off the higher interest rates – on anticipation of interest rate cuts in 2H 2024. 3 things I wanted to discuss today:

1. Best fixed deposit rates in Singapore today (April 2024)
2. Will interest rates go up or down in 2024 (short term and long term rates)?
3. Where to park cash today for the highest yield / liquidity – T-Bills, Fixed Deposit, Singapore Savings Bonds and High Yield Savings Accounts etc.

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