A line chart that shows average retail CD and bank money market rates (a deposit cost proxy) and federal funds rates from 1999 through first quarter 2003. In 1999, the deposit cost proxy was 3 percent and the 30-day average effective federal funds rate was 5 percent. By 2001, deposit costs had increased to 3.5 percent, while the federal funds rate had increased to 6.5 percent. In 2002, deposit costs dropped to 1.5 percent and the federal funds rate to 1.75 percent. In first quarter 2003, both rates were at 1.4 percent.