Italy and North Korea

Raleigh Mortgage Group Uncategorized

Geopolitical events related to Italy and North Korea were the primary influences on mortgage rates this week. The U.S. economic data mostly came in on target and caused little reaction. Mortgage rates declined from the seven-year highs reached last week. Italy formed a new government early this week, and the political parties in control of the coalition have changed significantly. …

ECB Spooks Investors

Raleigh Mortgage Group Uncategorized

The market moving economic news this week again was viewed as negative for mortgage rates. This time the source was the European Central Bank (ECB). The U.S. economic data mostly came in on target and caused little reaction. Mortgage rates reached the highest levels in seven years. On Monday, a speech from a top ECB official was viewed by investors …

Inflation Falls Short

Raleigh Mortgage Group Uncategorized

There was little major news this week and not much reaction to the economic data. Investors shifted some assets from bonds to stocks, and mortgage rates ended the week a bit higher. Perhaps the most widely followed inflation report is the Consumer Price Index (CPI), which looks at the price change for a basket of goods and services. Investors generally …

GDP Beats Expectations

Raleigh Mortgage Group Uncategorized

Mortgage rates climbed higher during the first half of the week and then reversed direction during the second half to end nearly unchanged. The movement didn’t correlate with any specific economic news. The first reading for first quarter gross domestic product (GDP) growth, the broadest measure of economic activity, was 2.3%, above the consensus of 2.0%. This was down from …

Weaker Job Gains

Raleigh Mortgage Group Uncategorized

Investors were focused on Friday’s Employment report and the policy on tariffs this week. Despite unexpected results on both fronts, however, there was little reaction in mortgage rates, and they finished the week nearly unchanged. Against a consensus forecast of 175,000, the economy added just 104,000 jobs in March. In addition, downward revisions subtracted 50,000 jobs from the results for …

Quiet Week

Raleigh Mortgage Group Uncategorized

It was a relatively quiet holiday-shortened week for mortgage markets. The economic data contained no major surprises and caused little reaction. Mortgage rates finished the week a bit lower.  As expected, the most recent inflation data revealed a slight increase. In February, the core PCE price index was 1.6% higher than a year ago, up from an annual rate of …

Stocks Dive, Mortgage Rates Flat

Raleigh Mortgage Group Uncategorized

Although the stock market suffered large losses this week, mortgage markets were relatively quiet. The two primary influences were the Fed meeting and a new tariff policy. Neither had much net effect, however, and mortgage rates finished the week nearly unchanged.  Following Wednesday’s Fed meeting, the statement and Chair Jerome Powell’s first press conference left investors divided about whether there …

Powell Testifies

Raleigh Mortgage Group Uncategorized

A wide range of events influenced mortgage rates this past week, including comments from the new Fed Chair, government policy changes, and surprises in the economic data. In the end, however, these were offsetting, and mortgage rates finished the week with little change.  On Tuesday, Jerome Powell gave his first testimony to Congress as Fed Chair. His comments caused investors …

Stocks Drive Rates

Raleigh Mortgage Group Uncategorized

Early in the week, mortgage rates were driven by massive swings in the stock market, but the net result was small. Later, a budget deal and hawkish comments from European central bankers were negative for mortgage rates, and rates ended the week a little higher. Quite often, stocks and mortgage rates will move in the same direction, and this is …

Raleigh Mortgage Group Uncategorized

Comments from a European Central Bank official and stronger than expected data on wage growth were negative for mortgage rates this week. Wednesday’s Fed meeting contained no surprises and had little impact. The upward trend seen in recent weeks continued, and mortgage rates ended the week higher.   Unfavorable news for mortgage rates has come from many directions this year. Investors have raised …