Summary of current bank rate news for December 27, 2010.

On Saturday, Dec. 25, China’s central bank announced an increase in the one year bank lending and bank deposit interest rates. The People’s Bank of China said that it will hike the benchmark interest rate by 25 basis points beginning Sunday, which raised the one year bank lending rate to 5.81 percent and the one year bank deposit rate to 2.75 percent. This is the second rate increase in China this year which has been accompanied by several increases in the bank reserve requirement ratio for commercial banks. The main impetus to the bank rate and reserve requirement changes is accelerating inflation within the country. The government’s main gauge of inflation, accelerated to a 28 month high in November to a rate of 5.1 percent.

Meredith Whitney has been hitting the media circuit with her prediction that a number of municipal bond issuances will go into default. Whitney has stated she expects to see between 50 to 100 significant defaults in municipal bonds in 2011 valued in the hundreds of billions of dollars. Of course, this prediction has met with a great deal of skepticism as well. Meredith Whitney garners a great deal of attention when speaking about banks and finance due to her early predictions on the financial crisis and bank problem loan portfolios.

GE Capital announced it is selling its Mexican consumer mortgage portfolio to Banco Santander which is valued at roughly $2.00 billion. Banco Santander is based in Spain and is one of the world’s largest banks. Banco Santander activities in the U.S. are primarily through its retail banking entity; Sovereign Bank. The mortgage portfolio sale to Banco Santander makes it one of the biggest mortgage providers in Mexico.

The U.S. Treasury has a whole truck load of bills and bonds scheduled to be auctioned off this week. The Treasury will sell $29 billion in three month and $28 billion in six month bills on Monday. The Treasury will also be selling $35 billion in two year notes Monday followed by $35 billion in five year Treasury notes on Tuesday and $29 billion in seven year Treasury notes on Wednesday.

Key links for information on the above bank rates include; 6 month CD rates, 1 year CD rates, 2 year CD rates and 5 year CD rates, 30 year mortgage rates table 15 year mortgage rates, table CD rates California, CD rates New Jersey, CD rates New York, CD rates Florida, CD rates Washington, CD rates Illinois, CD rates Virginia, credit cards as well as Chase Bank Promotions, Citibank Promotion, Interst Checking Accounts and Best Rates on CDs.

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