Highest CD rate reaches 4% APY on June 1, 2026 as Federal Reserve holds policy steady

The highest annual percentage yield available on certificates of deposit stands at 4% as of June 1, 2026, offered by Marcus by Goldman Sachs on its 14-month CD. The rate comes as the Federal Reserve has left its target interest rate unchanged through the first half of 2026, following three reductions in 2025, keeping deposit yields elevated relative to historical averages. The national average 1-year CD rate was 1.55% in May 2026, according to Federal Deposit Insurance Corp. data, underscoring the premium available from select promotional offers. Online banks and credit unions continue to price CDs more aggressively than traditional brick-and-mortar institutions. Locking in current rates provides an opportunity to secure returns above the prevailing national average, as further Fed inaction or future rate cuts could compress yields later in the year. Market participants are closely watching monetary policy signals, but deposit rates remain at some of the highest levels in nearly two decades.