3-Year Large-Certificate of Deposit Rates Return to 2% as Some Smaller Banks Raise Deposit Rates

Recently, large certificates of deposit (CDs) with an annualized rate of 2% have attracted market attention. Notably, the '2-percent' CDs that were regularly issued have been absent from the market for over a year. Before their reappearance, the highest annualized rate for regularly issued 3-year large CDs was 1.90%. Meanwhile, some smaller banks have defied the trend by raising their deposit挂牌 rates. Experts interviewed stated that small and medium-sized banks restarting 2% annualized-rate large CDs is not a simple return to high-interest deposit competition. These products feature regional and phased characteristics; combined with current pressure on bank net interest margins, they are not yet poised to evolve into industry-wide price competition. The core objective is to safeguard the local core deposit base during the transition period of liability structure adjustment. (Securities Daily)