Data, Feds and Politics

raleigh_admin Uncategorized

Uncertainty surrounding the Trump administration and dovish Fed minutes were positive for mortgage rates this week. Stronger than expected economic data had the opposite effect. While it was a fairly volatile week, the net result of these influences was that mortgage rates ended the week with little change, remaining near the best levels of the year. After several months of …

Low Inflation

raleigh_admin Uncategorized

Low inflation and rising tensions with North Korea were good for mortgage rates this week, while strong labor market data was negative. The net effect was that mortgage rates ended the week a little lower, near the best levels of the year. Fed officials are hoping for inflation to rise, but the recent data has not cooperated. On Friday, the …

Mixed Data

raleigh_admin Uncategorized

With little fresh news from global central bankers this week, the economic data was the primary influence on mortgage rates. Some reports were positive and some were negative. The net effect was that mortgage rates ended the week slightly lower. The Fed’s target level for inflation is an annual rate of 2.0%. Tuesday’s release of the core PCE price index, …

Fed to Act “Relatively Soon”

raleigh_admin Uncategorized

This past week’s Fed meeting caused some volatility but had almost no net effect on mortgage rates. The economic data caused little reaction. Mortgage rates ended the week very slightly higher. The statement released on Wednesday following the conclusion of the Fed meeting contained little new guidance about future policy. According to the statement, officials expect to begin to scale …

ECB More Dovish

raleigh_admin Uncategorized

This past week’s movement in mortgage rates was mostly due to a more dovish investor outlook for the European Central Bank (ECB). The economic data caused little reaction. Mortgage rates ended the week lower. For years, the ECB has had a program in place to purchase massive quantities of bonds. The most recent extension of the program consists of buying …

Focus Remains on Europe

raleigh_admin Uncategorized

The prospect of tighter monetary policy from the European Central Bank (ECB) again was the main influence on U.S. mortgage rates this week. The U.S. economic data caused little reaction. Mortgage rates ended the week higher. Similar to what the U.S. Fed did earlier in the decade, the ECB has been buying massive quantities of government bonds to help push …

Fed Officials Debate Inflation

raleigh_admin Uncategorized

Comments from Fed officials caused some volatility this week but had little net effect. The economic data caused little reaction. Mortgage rates ended the week nearly unchanged, close to the best levels of the year. Last week’s weak inflation data had Fed officials talking this week. To the surprise of many, inflation has declined during each of the last few …

Little Reaction to Big Events

raleigh_admin Uncategorized

During a light week for economic reports, investors were focused on three big events. There was little reaction to the events, however. For the first time in a month, mortgage rates ended the week a little higher, rising from the best levels of the year. Three events on Thursday had the potential to significantly affect mortgage rates. However, none of …

Job Gains Fall Short

raleigh_admin Uncategorized

Weaker than expected labor market data and tame inflation readings were favorable for mortgage rates this week. Mortgage rates ended the week lower, at the best levels of the year. Friday’s report from the Bureau of Labor Statistics showed that the economy added just 138,000 jobs in May, well below the consensus of 185,000. In addition, downward revisions subtracted 66,000 …

Fed Minutes Reveal Plan

raleigh_admin Uncategorized

With few new political headlines or major surprises in the economic data, it was a quiet week. Wednesday’s release of the Fed minutes was the biggest market mover, but those gains were offset by small losses on other days. Mortgage rates ended the week with little change. Wednesday’s release of the detailed minutes from the Fed meeting on May 3 …