Welcome to the Total Mortgage 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?
Thanksgiving is over and it’s back to reality on this cloudy Black Friday. U.S. markets opened today in positive territory, and yields on long term government bonds jolted upward but have since retreated back down to just above where they opened. The yield on the U.S. 10-year treasury note is currently trading at 2.36%, after hitting a one-day high earlier of 2.41%.
Some economic forecasters are saying it isn’t unfathomable to have that yield at 3.00% by the end of the year. That would be a mark not reached since 2013. It’s an important point to consider as mortgage rates often go wherever the 10-year yield goes. It’s not always a step for step move, but post-election we’ve seen both yields and rates shoot up over 40 basis points. Mortgage rates are now up over 4.00%.
Click here to get today’s latest mortgage rates.
There’s not a whole lot of time left in 2016, but if the Trump fiscal spending boom continues to bolster economic opinion, and we don’t get any abysmal reports, it’s not inconceivable for mortgage rates to rise another 25+ basis points before January.
The next big market moving report comes next Friday with the November employment situation. It’s the last monthly jobs report before the Fed meets in December. With so much momentum for a December rate hike, it’s hard to imagine that report could be bad enough to halt any action. Right now, the Fed Fund futures are showing a 93.5% chance of a quarter point rise in the federal funds rate. That is still a very small adjustment, and it won’t mean mortgage rates will shoot up. By the time that decision rolls around, the rise will already be priced into mortgage rates.
What does this mean for me?
Mortgage rates are on the rise. I think that the case is much stronger for a continued climb than it is for an imminent decline. That means that anyone looking into purchasing a home or refinancing their current mortgage will most likely be better off locking in a rate sooner rather than later. Everyone’s situation is different, but overall I think that advice will hold true.
Click here to get today’s latest mortgage rates.
Today’s economic data:
International Trade in Goods
The Nation’s trade deficit widened by a larger margin than was expected for October to $62.0 billion. Exports saw a change of -2.7%, while imports rose 1.1%.
Notable events this week:
Monday:
- Fedspeak
- Chicago Fed Index
Tuesday:
- Existing Home Sales
Wednesday:
- Durable Goods Orders
- Jobless Claims
- PMI Index Flash
- New Home Sales
- Consumer Sentiment
- EIA Petroleum Status Report
- FOMC Minutes
Thursday:
- Markets closed for Thanksgiving
Friday:
- International Trade in Goods
from Total Mortgage Underwritings Blog http://ift.tt/2gp3lc1
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