After months of speculation fueled by the Federal Reserve’s declared preparation to taper its bond purchases, the market is dead set on an official announcement after the central bank convenes for its next board meeting this week.
- With two weeks left until the next quarter begins in October, consumers with certain cash back credit cards (Citi Dividend, Discover It, Chase Freedom and U.S. Bank Cash+ Visa Signature) can begin signing up for the next quarter’s 5% cash back categories. It also means that cardmembers still have two weeks to take advantage of the current bonus cash back categories before the quarter ends.
- In the UK, a new account-switching system is now active. It allows bank customers to switch banks easily. The free service relieves customers of the need to deal with their old banks as all payment and transfer activity is automatically transferred to the new account. The U.S. might take note of the system and introduce a similar service in the industry.
- On Tuesday, the Federal Reserve will hold its next board meeting to discuss monetary policy. There will be a major focus on the jobs situation given the recent drop in the unemployment rate. In August, the unemployment rate was 7.3 percent. The central bank said it will raise interest rates when the unemployment rate drops to 6.5 percent. There is high speculation that the Fed announce the tapering of its bond-buying program.
- A study by Fidelity Investments found that investors are not saving more in their 401(k) accounts despite general confidence in the stock market. The brokerage firm said that American investors are missing out on opportunities to grow the retirement funds by not increasing the contributions.
- EverBank has decided to re-issue its MarketSafe Evolving Economies CD due to popular demand. Investors can bet on the performance of the Colombian peso, Turkish lira, Mexican peso and Indian rupee, with a 100 percent guarantee in principal. The deadline for opening this market-linked CD is Oct. 9, 2013.