CD Rate Trends September 2026: CD Rates Rise And Could Go Higher

CD rates are moving higher entering September 2026. With inflation still above target, economic growth holding up, and three Fed policymakers voting for a rate increase at the Federal Reserve’s last meeting, savers could see CD rates move higher. Competition among banks and credit unions for deposits may also push CD rates even higher, regardless of what the FOMC does in September.

Are CD Rates Going Up Right Now?

Yes, though the volume of rate increases slowed some in August compared to July.

The number of rates offering at least 4.00% Annual Percentage Yield (APY) increased, and rate increases continuing to substantially outnumber decreases.

During the past week, 585 existing rates increased and 126 decreased, while 88 new offerings were added. That means approximately 82.3% of all changed rates moved higher, and increases outnumbered decreases by more than four and a half to one. Data as of August 24, 2026.

Rate increases still dominated in August, but their share slipped slightly from July. In the June reporting cycle, more than two-thirds of all rate changes were increases. That share climbed to 83.7 percent in July before edging down to 82.3 percent in the latest August 24 update.

Other measures also point to continued upward pressure on CD rates. The number of rates offering at least 4.00% APY climbed by 131 to 3,045. CD Valet currently tracks 39,687 CDs, of which 42.94 percent are promotional offers and 57.06 percent are standard offers.

CD Valet’s overall median remained unchanged at 3.25 percent. Median rates also held steady at 3.50 percent for 6-month CDs, 3.25 percent for 12-month CDs, and 3.00 percent for 24-month CDs.

“Financial institution offerings continue to favor rate increases in substantially greater numbers than decreases,” says John Blizzard, founder of CD Valet. “At the same time, a relatively flat yield curve gives savers the flexibility to choose from a wide range of maturities without necessarily sacrificing yield.”

The CD yield curve also remains largely flat among the highest-paying offers. Offers near 4.60% APY are available across terms ranging from 6 to 120 months, giving CD shoppers more flexibility when choosing a maturity.

What Happens to CD Rates if the Fed Cuts Rates?

A Federal Reserve rate cut would generally push newly offered CD APYs lower, although banks, credit unions, and CD terms would not necessarily respond at the same speed or by the same amount. Existing fixed-rate CDs would keep their APYs until maturity. If the Fed holds rates steady, banks and credit unions can still raise CD rates to compete for deposits.

The Fed’s most recent decision already included three policymakers arguing for a rate increase.

At its latest meeting, the FOMC voted 9–3 to keep the federal funds target range unchanged at 3.50 percent to 3.75 percent. Three members dissented in favor of raising the target range by 25 basis points.

In an August 28 speech, Fed Chair Kevin Warsh said committee members broadly agreed that labor markets were stable, economic output was solid, and inflation remained too high. A majority of the committee favored waiting for additional information before determining whether a change in interest-rate policy was warranted.

Warsh said the economy appears to have strengthened. Business investment is rising, consumer spending remains healthy, and credit markets show few signs that monetary policy is restraining economic activity. He also described the labor market as stable and consistent with full employment.

With economic growth holding up and the labor market near full employment, persistent inflation could instead support keeping rates unchanged, or strengthen the case for a future increase. The next FOMC meeting is scheduled for September 15–16, 2026.

Let’s look deeper at what the latest inflation, employment, and economic-growth data suggest about the decision policymakers could make.

Inflation: Price Pressures Continue to Ease

On August 12, the U.S. Bureau of Labor Statistics reported that the Consumer Price Index rose 0.1 percent in July after falling 0.4 percent in June. Over the previous 12 months, headline inflation increased 3.4 percent, down slightly from 3.5 percent in June.

Core inflation, which excludes volatile food and energy prices, rose 0.2 percent in July after being unchanged in June. Over the previous 12 months, core CPI increased 2.5 percent, down from 2.6 percent in June.

“Each of these broad inflation measures has fallen significantly from their 2022 heights. But progress over the past two years has been modest,” Warsh said in remarks on August 28.

Core inflation also remains elevated, giving policymakers reason to remain cautious even as the broader inflation trend moves in a more favorable direction.

Employment: Labor Market Little Changed

The U.S. Bureau of Labor Statistics reported that nonfarm payroll employment declined by 23,000 in July, while the unemployment rate changed little at 4.1 percent.

Unemployment claims also remained relatively stable. Seasonally adjusted initial claims totaled 203,000 for the week ending August 22, down 4,000 from the previous week’s revised level of 207,000. The four-week moving average increased slightly to 205,500.

Taken together, the July employment report and more recent unemployment claims point to relatively little change in labor market conditions. While some measures shifted modestly downward, unemployment remains low and claims continue to indicate limited layoffs.

GDP: GDPNow Continues to Point to Strong Growth

The Federal Reserve Bank of Atlanta’s GDPNow model estimated real GDP growth at a seasonally adjusted annual rate of 4.6 percent for the third quarter of 2026 as of August 26. That estimate increased from 4.0 percent on August 18.

The upward revision followed new economic data that raised the model’s estimates for both consumer spending and private investment. Estimated third-quarter real personal consumption expenditures growth increased from 2.5 percent to 3.1 percent, while estimated real gross private domestic investment growth increased from 13.7 percent to 14.5 percent.

While GDPNow estimates can change substantially as new data become available, the latest reading continues to point to strong economic growth in the third quarter.

Bottom Line: Lower CD Rates Still Seem Less Likely

The latest economic data continue to make a meaningful decline in interest rates look less likely in the near term. Inflation is easing, but both headline and core inflation remain above the Federal Reserve’s 2 percent goal. At the same time, the labor market changed little in July, while the Atlanta Fed’s GDPNow model continues to point to strong third-quarter economic growth.

For CD savers, that combination could support relatively stable rates or additional increases if financial institutions continue competing for deposits. Strong economic growth and a stable labor market also give the Federal Reserve more room to remain focused on inflation rather than cutting rates to support the economy.

The next FOMC meeting is scheduled for September 15-16. It will also include a new Summary of Economic Projections, giving savers a fresh look at policymakers’ expectations for economic growth, unemployment, inflation and the appropriate path for interest rates.

Should You Lock in a CD Rate Now?

Locking in a CD rate now can protect your yield if deposit rates unexpectedly decline, but the latest economic data continue to suggest caution about locking up money for very long periods.

For savers, shorter-term CDs may offer a useful balance between locking in today’s yield and maintaining flexibility if higher rates become available. Another option is a CD ladder, which divides deposits among several maturity dates so that portions of the money become available for reinvestment at regular intervals.

Savers can also compare terms using the CD Yield Curve, or the yields on U.S. Treasuries, and available 6-, 12-, 24-, 36- and 60-month terms before selecting a maturity.

Which CD Terms Are Rising Fastest?

Over the 30 days ending August 24, the top 1 percent of 12- and 24-month CD rates moved higher, while 6-month rates were unchanged.

The biggest increase came in 24-month CDs, where the 99th-percentile rate rose 10 basis points over the 30-day period. At the same time, the broader CD yield curve remains relatively flat, with competitive rates available across a wide range of maturities.

That gives savers more flexibility to choose a CD term based on when they expect to need their money, rather than accepting a substantially lower yield to select a longer or shorter maturity.

How CD Valet Tracks These Rates

Every CD rate listed on CD Valet is verified with publicly available data from federally insured banks and institutions. Rates are directly sourced and verified through a combination of daily manual reviews and structured data checks to ensure accuracy, availability and transparency.

CD Valet operates as a comprehensive CD marketplace, featuring over 40,000 rates from nearly 5,000 federally insured banks and credit unions. Rates are updated as often as daily, including after every FOMC meeting. Learn more about CD Valet’s data verification policy.

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