Rephrase the title:Should you invest your money in an FD at high interest rates now?

Rephrase and rearrange the whole content into a news article. I want you to respond only in language English. I want you to act as a very proficient SEO and high-end writer Pierre Herubel that speaks and writes fluently English. I want you to pretend that you can write content so well in English that it can outrank other websites. Make sure there is zero plagiarism.: FD interest rates, influenced factors like the RBI’s policy repo rate, are likely to remain relatively high during the first half of 2024Broader, macroeconomic signs suggest that we may be approaching the end of this high interest rate cyclePeople looking to park their money in FD for 2-3 years for their debt portfolio can use this opportunity to lock in their FD at current interest rate levelsLast Friday, the Reserve Bank of India (RBI) kept the repo rates unchanged seventh time in a row at 6.5%, as expected industry experts. The last time it had raised rates was in February 2023, when it had raised the rates 25 bps to 6.5%. This had pushed the rates on fixed deposits to a high in about 5 years, which came as good news for those who invest in FDs. “FD interest rates, influenced factors like the RBI’s policies such as the repo rate, are likely to remain stable when the repo rate is unchanged,” says Adhil Shetty, CEO, BankBazaar.com, a fintech portal. Co-operative banks would be offering an even higher rate of interest on FDs. Bank FD interest rates (%)Bank <1 year1-2 years2-3 years3-5 yearsBank of Baroda7.17.157.256.5State Bank of India67.176.75UCO Bank5.56.56.36.2Union Bank5.757.256.56.5Axis Bank67.27.17.1HDFC Bank67.257.157.2ICICI Bank67.277Data as on respective banks’ website on 05 Apr 2024; For each year range, the maximum offered interest rate is considered; interest rate is for a normal fixed deposit amount below ₹1 crore.Source: BankBazaar.com Should you lock your money in FDs? Retail inflation in recent months has eased down to 5% whereas RBI has kept the repo rate at 6.5%. “While there is some anticipation of rate cuts the end of 2024, the RBI seems inclined to adopt a wait-and-see approach before initiating a rate cut cycle,” says Sujan Hajra, chief economist & executive director at Anand Rathi Shares and Stock Brokers. But experts sense that a rate cut is coming soon.“It looks like we are at the end of the interest rate hike cycle unless inflation starts going up. So people looking to park their money in FD for 2-3 years for their debt portfolio can use this opportunity to lock in their FD at current interest rate levels,” says Abhishek Kumar, founder and chief investment advisor at SahajMoney, a financial planning firm.Agrees Shetty, “This stability benefits FD investors, especially those seeking predictable income streams, such as retirees and conservative investors prioritising capital preservation and regular earnings.” Once retail inflation stabilises or starts going down further in the coming months RBI is expected to start cutting repo rate. While it could be good news for the markets and may boost consumption further, it could also make banks reduce interest on FDs immediately after.Disclaimer: The content on this website is for informational purposes only and should not be construed as investment advice. We recommend readers consult certified, qualified and registered advisors for professional and personalised financial advice.