Happy Friday, and 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?
Rates rise with Fed meeting around the corner
Predicting where mortgage rates are going is never easy, and the task certainly does not get any easier on the Friday leading up to an FOMC meeting. What we know is that mortgage rates had a fairly significant week, in that the 11-week trend of the 30-year fixed being in the 3.41%-3.48% range was finally snapped. Of course, the streak was only broken by a 6 basis point rise from last week putting the 30-year fixed at 3.50%. We’re not talking any absurd surges in rates here. Mortgage rates have basically remained flat since they rose to those levels, and we’re left to look forward to the FOMC meeting for the next big market moving event.
The only thing I can confidently say about the meeting is that Fed officials will not vote to increase the federal funds rate. Typically, the votes are unanimous, but I wouldn’t be surprised if there are one or two dissenters (I’m looking at you Esther George). After all, there’s been plenty of fedpeak arguing for an increase in the near term. I imagine some fierce words will be spoken on both sides, but we won’t get to see that until the minutes are released. For now, we’re left with the written statement and the press conference with Janet Yellen.
Click here to get today’s latest mortgage rates.
What does this mean for me?
Mortgage rates went up this week but they’re still at historically low levels. Whether you’re trying to lock in a low rate on a purchase or a refinance, the opportunity is definitely there.
Click here to get today’s latest mortgage rates.
Today’s economic data:
Consumer Price Index
Consumer prices rose by 0.2% in August, putting them up 1.1% year over year. Taking away food and energy CPI rose 0.3%, making the year over year 2.3%. Growth is good, and while the index isn’t on fire, it’s better than expectations.
Consumer Sentiment
The University of Michigan’s Consumer Sentiment index is at 89.8 for September. That’s unchanged from the prior reading and one point below the consensus for 90.8.
Notable events this week:
Monday:
- Fedspeak
Tuesday:
- Nothing
Wednesday:
- EIA Petroleum Status Report
Thursday:
- Jobless Claims
- PPI-FD
- Retail Sales
- Philly Fed Outlook
- Industrial Production
Friday:
- Consumer Price Index
- Consumer Sentiment
from Total Mortgage Underwritings Blog http://ift.tt/2cEpGwO
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