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To: NVDave
I went to cash. I could be wrong.

Can you explain? T-bills? CD's? What?

180 posted on 02/12/2009 7:55:15 PM PST by GOPJ (What's caused 19 deaths, makes travel difficult, and won't melt til April? Global Warming.FR:Dentist)
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To: GOPJ

I’m putting it into a series of CD’s, paying attention to FDIC limits and the creditworthiness of the banks involved.

Here’s a tip: If a CD from a bank is paying more than a few basis points more yield for the same duration as what you’re seeing from other banks, it probably is because that bank (the one paying the higher yield) has a lower S&P/Fitch’s/Moody’s rating, or they’re on a negative creditwatch, or they’re in trouble, not downgraded yet, and they’re in a fat hurry to plump up their reserves.

Go back and look at the yields on WaMu CD’s before they went under. Boy, they looked fantastic! Well, there was as reason why.


182 posted on 02/12/2009 9:35:56 PM PST by NVDave
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