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?
Treasury yields saw their biggest daily decline in almost two months on Monday. Yields climbed back up a bit this morning but then resumed their decline and are basically at yesterday’s low point right now. The yield on the 10-year U.S. treasury note is 1.56%. Mortgage rates typically follow the path of the 10-year yield, so mortgage rates, after heading higher over the weekend due to Janet Yellen’s comments on Friday, have now fallen to where they were last week.
Click here to get today’s latest mortgage rates.
Fed Vice Chairman (and noted hawk) Stanley Fischer spoke to Bloomberg TV this morning and said that the economy is doing well, with the labor market firing at close to full strength. He didn’t make any specific comments on when the next rate hike would take place, opting to say that “we choose the pace on basis of data.” It’s the same old song-and-dance wrapped up in a new box.
The Fed Fund futures haven’t really changed much since Yellen spoke on Friday. The probability of a rate hike in September is now 24.0%. There is a decent bit of data out this week (including the ever-influential August employment situation report), so there is a definite possibility that we will see that number change. There’s only two weeks left until the FOMC meets on September 14, and investors are scrutinizing every last speck of data for clues.
What does this mean for me?
Mortgage rates continue to float around historically low levels. The fall home buying season is nearly upon us, and mortgage rates are well suited to getting a good deal on a purchase. There is also the potential for homeowners to refinance and save money on their monthly payments.
Click here to get today’s latest mortgage rates.
Today’s economic data:
S&P Case-Shiller HPI continues to decline
The 20-city index fell 0.1% in June. That’s the third consecutive negative reading. The year on year reading has slipped 0.2% to 5.1%. Housing data has been coming in soft across the board recently.
Consumer Confidence is up
Consumer confidence is up almost 4.5 points to 101.1 in August. That’s decisively higher than the top level estimation of 98.3. It’s good news for the U.S. economy, and somewhat bolsters a pro rate hike position.
Notable events this week:
Monday:
- Personal Income and Outlays
Tuesday:
- S&P Case-Shiller HPI
- Consumer Confidence
Wednesday:
- Fedspeak
- ADP Employment Report
- Chicago PMI
- EIA Petroleum Status Report
Thursday:
- Jobless Claims
- PMI Manufacturing Index
- Consumer Comfort Index
- ISM Manufacturing Index
- Fedspeak
Friday:
- Employment Situation
- International Trade
- Fedspeak
from Total Mortgage Underwritings Blog http://ift.tt/2c5vFv1
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