The end of October brings the next Fed announcement and it is a 100% certainty that they will be cutting rates again. Many people believe this means lower mortgage rates. Many people are wrong. To be perfectly fair, mortgage rates COULD move lower after the Fed rate cut, but they could also move higher. We’ve certainly
If we stopped paying attention at noon on Thursday, it was an uneventful week due to an absence of important economic data, a holiday closure, and a lack of volatility in the underlying bond market. After that, things got interesting. To be fair, things were fairly interesting at the end of the previous week owing to
Rates have been very flat since September 19th, with the average lender holding inside a tiny 0.05% range through this past Thursday. To put that in context, on September 18th alone (the day after the Fed announcement), rates rose 0.15%. While we’re not seeing anything nearly as brisk at present, Friday brought a bit of a
Contrary to mainstream notions regarding the Fed rate cut, mortgage rates moved sharply higher on Fed Day as well as the following day. Since then, they’ve been in a calm, sideways range, but managed to trickle to the lowest levels in that range by the end of this week. This is a logical outcome considering this
It’s that time again, maybe. By this time next week, we will either be several days into another government shutdown or in the throes of volatility following the big jobs report, but it’s probably one or the other. Officially known as The Employment Situation, the monthly jobs report is published by the Bureau of Labor
There is a reason that last week’s newsletter was titled “The Fed is Cutting Rates Next Week, But Not Mortgage Rates.” Indeed, mortgage rates surged HIGHER after this week’s Fed rate cut–a seemingly paradoxical move that has exposed widespread confusion about the nature of mortgage rate movement. Let’s clear it up! SHORT VERSION: The Fed
