patrick.net

gabbar says

For an individual like me, its an opportunity to put my savings in a 5 year CD at 4.25%

Which was par for the course from time immemorial until about 15 years when someone decided money should be free to certain classes of people.

Gabbar, if you buy a CD you are lending your capital to the bank for them to use and you get peanuts in return.

If you desire income, there are many things available.

If you desire the money to grow there are many things to buy.

Guys are buying REITs, dividend stock funds, and even covered call stock funds (an interesting idea).

SCHD is popular, I just bought some JEPI.
You can buy a high yield municipal bond fund at Vanguard and owe no federal tax on the interest.
Or Vanguard has high yield stock funds, Wellesley Income Fund, Equity Income Fund, and other stuff.

The Federal Government funds much of its deficit spending by selling Government Treasuries. How do you think the dramatic increases in the rates of interest that the government will be forced to pay (in order to sell their T-Bills) will effect our already exploding, out of control national debt?

Rising rates creates a risk-off environment, witnessed by layoffs in the crap app, aka tech industry, as well as in biotech.

gabbar says

So, the rate of interest is going up, possibly above 5%

Which rate?

The rate on my deposit at a retail bank? Ha ha ha