Consumer lending and saving rates were little changed going into the last week of October.  Even while the equity markets appeared to be finding their footing and displayed three consecutive weeks of gains, interest rates barely budged.  It is more common to see a different scenario unfold when money moves into stocks and other riskier asset classes and out of interest rates sensitive securities.  The funds flow into stocks and out of fixed income assets pushes the p[ prices on bonds lower and moves interest rates higher. 

Interest rates and interest rate sensitive investment classes will most certainly take their cue from different sources but, the recent dip in interest rates over the summer was based heavily on weak economic data that also drove equity prices and commodities appreciably lower. 

The jump in stock prices in October was dependent, to a great extent, to the gains of commodity related businesses as well as technology companies.  These stock categories took the brunt of the losses during the heavy selling in August which matched the time period when interest rates drifted lower.  The S&P 500 is now up by approximately 8.0 percent in October, on track for the best month since 2011.

The reversal of fortunes, maybe a bit of an exaggeration, in the stock prices has not brought about the same reversal in lending and savings rates.  During the month of October, as the stock market leaped ahead interest rates mostly ran in place.  The ten year U.S. Treasury bond kicked off the month with a yield of 2.05 percent, after reaching a high of 2.12 percent in mid-October, the current rate on the ten year stands at just 2.09 percent.  Most of the other Treasury maturities displayed the same tight trading range with just mild upside moves during the month.

Mortgage rates, CD rates, car loan rates, and bank savings rates held their ground through the month considering the volatile market conditions in other aspects of the investment world.  The best CD rates available nationally, as measured by the CD rate index, were unchanged during the third week of October as were the top savings and money market rates.  Mortgage rates popped slightly higher with gains of roughly 1/8th to ¼ of a percent on the benchmark, 30 year mortgage at the nation’s leading bank mortgage lenders.  Car loan rates declined slightly and credit card rates were, once again, stuck in the mud.

Bank rates market recap for October 26, 2015:

CD interest rates:
Composite CD interest rate index 1.220 percent
3 month CD rates 0.436 percent
6 month CD rates 0.845 percent
1 year CD rates 1.240 percent
2 year CD rates 1.410 percent 
5 year CD rates 2.168 percent

Money market and savings account rates:
Bank money market rates and savings account rates 1.064 percent

Mortgage rates: 
30 year mortgage rates 3.817 percent
15 year mortgage rates 3.074 percent
20 year mortgage rates 3.609 percent
30 year jumbo mortgage rates 3.633 percent
30 year FHA mortgage rates 3.713 percent

Credit card rates:
Credit card rates for new credit card offers 13.88 percent

US Treasury rates:
Six month Treasury rate 0.13 percent
One year Treasury rate 0.24 percent
Two year Treasury rate 0.66 percent
Five year Treasury rate 1.43 percent
Ten year Treasury rate 2.09 percent

All bank savings rates and lending rates are based on surveys conducted by at the close of October 23, 2015 with all of the interest rates obtained directly from the banks within the survey.  Treasury rates are obtained directly from the Department of the Treasury.  

More detailed interest rate data on current mortgage rates, CD rates, credit card rates, and savings account rates for the week ending October 23, 2015 can be found at the following interest rate tables: 3 month CD rates, 6 month CD rates, 9 month CD rates, 1 year CD rates, 2 year CD rates, 4 year CD rates, 5 year CD rates, 30 year mortgage rates, 15 year mortgage rates, FHA mortgage rates, 20 year mortgage rates, 10 year mortgage rates, jumbo mortgage rates, best interest checking accounts and best credit card rates.

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