Welcome to the TMS current mortgage rates blog. There’s some economic data out today, but first, your daily mortgage rate forecast/advice.
Click here to get today’s latest mortgage rates.
Where are mortgage rates going?
Freddie Mac PMMS
Every Thursday the Freddie Mac Private Mortgage Market Survey (PMMS) comes out and we get the best snapshot of where rates are heading. The biggest market movers every month are GDP and the jobs report. Last Friday, we got the jobs report, and it was well above projections. That’s good news for the economy but bad news for borrowers, as it caused mortgage rates to rise, albeit modestly.
The average rate on a 30-year fixed rate mortgage is now 3.45% (0.5 points); the average rate on a 15-year fixed rate mortgage is 2.76 (0.5%); and the average rate on a 5-year ARM is 2.74% (0.5 points).
Here is what Sean Becketti, Chief Economist at Freddie Mac, had to say about the rise in mortgage rates this week:
“A surprisingly strong July jobs report showed 255,000 jobs added and 0.3 percent wage growth from last month, exceeding many experts’ expectations. In response, the 10-Year Treasury yield rose to its highest level since June and the 30-year fixed-rate mortgage increased 2 basis points to 3.45 percent.”
Click here to get today’s latest mortgage rates.
Fed Fund Futures
The Fed Fund futures have not been an exciting event to watch this week. September is at 12.0%, November is at 15.1%, and December is at 40%.
What does this mean for me?
Mortgage rates went up this week, but only by a hair. The average rate on a 30-year fixed rate mortgage is only 13 basis points above the all-time record low. That means right now is still a great time to refinance your current mortgage or purchase a home.
Click here to get today’s latest mortgage rates.
Today’s economic data:
Weekly Initial Jobless Claims
Jobless claims for the week of 8/6 came in at 266,000. That is right in line with expectations for 265,000. The 4-week average is up 3,500 to 262,750. All in all, this report shows their is potential for a strong August employment situation.
Import and Export Prices
Import prices and export prices rose 0.1% and 0.2% in July, respectively. Year on year, import prices are down 3.7%, and export prices are down 3.0%.
Notable events this week:
Monday:
- Labor Market Conditions Index
- Treasury auctions
Tuesday:
- Productivity and Costs
- Treasury auctions
Wednesday:
- Job Openings and Labor Turnover Survey
- EIA Petroleum Status Report
- Treasury auctions
Thursday:
- Weekly Initial Jobless Claims
- Import and Export Prices
Friday:
- Retail Sales
- Producer Price Index – Final Demand
- Consumer Sentiment
from Total Mortgage Underwritings Blog http://ift.tt/2aMo6rB
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