Treasuries, CDs, and Munis | July Update
CD rates above 4% remain available as 20-year and 30-year Treasury yields rise above 5% and the fiscal-year deficit reaches $1.4 trillion.
COMMENTARY
According to the Congressional Budget Office (CBO), the federal budget deficit totaled $1.4 trillion during the first nine months of fiscal year 2026, $35 billion higher than the same period one year ago. Tax receipts increased by $142 billion (+4%), while expenditures rose by $178 billion (+3%). June alone recorded a $126 billion deficit, compared with a $27 billion surplus a year earlier, as shifts in payment timing and tariff refunds largely explain the swing. Customs duty collections are up 51% this fiscal year because of higher tariff rates. The Treasury paid roughly $70 billion in tariff refunds in May and June following the February Supreme Court ruling striking down certain tariffs. In June, refunds exceeded gross collections.
Net interest on the public debt totaled $857 billion through June, up 13% from a year ago and on pace to exceed $1 trillion. Total public debt outstanding stood at $39.4 trillion as of July 10. The supply of Treasuries will remain elevated in the quarters ahead, and the Treasury’s next quarterly refunding announcement in early August will detail the size and maturity mix of upcoming auctions. The Federal Reserve meets on July 28 and 29. As of July 14, CME FedWatch shows markets pricing in roughly an 83% probability that the Fed holds the federal funds rate steady and a 17% probability of a 25 basis point increase.
U.S. TREASURY AUCTIONS
The U.S. Treasury has a full schedule of upcoming auctions. Investors can purchase Treasuries at no cost via the TreasuryDirect.gov website or at most major brokerages, including Vanguard, Fidelity, and Schwab.
BILLS
BONDS
TIPS
The current 10-year TIPS yield is 2.31% (+CPI, as of July 14).
MONEY MARKET & CD RATES
Below are some of the most attractive money market yields and CD rates available nationwide, sorted by maturity from three months to five years. Click this FDIC BankFind link to verify that a bank is FDIC-insured. You can click on the institution or fund name to go directly to the provider. We recommend keeping total deposits at each bank within the applicable FDIC insurance limit of $250,000 per depositor, per insured bank, for each account ownership category.
Money Market Funds
Vanguard Municipal Money Market Fund 1.88% (tax-exempt)
The tax-equivalent yield from VMSXX is currently lower than that of VMFXX across all 2026 federal income tax brackets, making VMFXX the more attractive option.
Readers looking for savings options can visit our Rates Update page to view our curated daily list of attractive offerings. It includes money market funds, certificates of deposit, U.S. Treasury auctions, and upcoming municipal bond offerings.
CD RATES
The top 12-month CD rates in our survey have increased since our March update, reaching 4.30% today, up from 4.10% four months ago. Longer maturities continue to hold above 4%.
OMB Bank 4.05%
Charles Schwab OneSource 4.01%
Brilliant Bank 4.00%
First Bank of the Lake 4.26% (7 months)
American Bank 4.25% (8 months)
Rising Bank 4.21%
Charles Schwab OneSource 4.30%
OMB Bank 4.19% (13 months)
Popular Direct 4.17%
Charles Schwab OneSource 4.30%
Merrick Bank 4.25%
First Bank of the Lake 4.21% (20 months)
Charles Schwab OneSource 4.50%
Merrick Bank 4.25%
MapleMark Bank 4.25%
MapleMark Bank 4.25%
BTG Pactual Bank 4.15%
Crescent Bank 4.15%
BTG Pactual Bank 4.15%
TAB Bank 4.15%
Merrick Bank 4.10%
Sullivan Bank 4.30%
TAB Bank 4.20%
BTG Pactual Bank 4.15%
MUNICIPAL BOND OFFERINGS
Below are some of the largest upcoming municipal bond offerings nationwide. Click on the municipality name for additional muni bond offering details.
Alabama
City of Auburn General Obligation Warrants, Series 2026
Issuance Size: $204M | Timing: Week of Jul 20
California
Issuance Size: $438M | Timing: Jul 21
California Community Choice Financing Authority Clean Energy Project Revenue Bonds
Issuance Size: $945M | Timing: Week of Jul 13
Issuance Size: $250M | Timing: Week of Aug 2
New York
Personal Income Tax Revenue Bonds, Series 2026A (Thruway Authority, Bidding Groups 1–6)
Issuance Size: $2.5B | Timing: Jul 15
TFA Future Tax Secured Subordinate Bonds
Issuance Size: $1.5B | Timing: Jul 22
LIPA Electric System Revenue Bonds
Issuance Size: $1B | Timing: Jul 28
City of New York General Obligation Bonds
Issuance Size: $1.5B | Timing: Aug 5
Oklahoma
Oklahoma Water Resources Board
Issuance Size: $432M | Timing: Aug 4
Texas
City of San Antonio Airport System Revenue and Refunding Bonds, Series 2026 (AMT)
Issuance Size: $907M | Timing: Week of Jul 20
Magnolia Independent School District School Building Bonds, Series 2026 (PSF Guaranteed)
Issuance Size: $457M | Timing: Week of Jul 20
City of Denton Certificates of Obligation, Series 2026
Issuance Size: $281M | Timing: Jul 21
Issuance Size: $1.1B | Timing: Aug 4
In case you missed it, here is our Model Portfolio Update published earlier this month.