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?
Speculation that the OPEC meeting today will result in a decline of oil production has shot oil prices up almost 8% today. Investors, anticipating higher inflation are now moving out of bonds and into stocks, sending treasury yields on track for their largest one day gain in two weeks. The yield on the 10-year treasury note is at 2.38% right now, up nine basis points from yesterday’s close of 2.29%.
Of course, a rising 10-year treasury yield most likely means that mortgage rates are on the rise as well. In last week’s Freddie Mac Primary Mortgage Market Survey, the average rate on a 30-year fixed rate mortgage was 4.03%, up nine basis points from the week before. That report will be released again tomorrow morning at 10am, and will probably show mortgage rates not too far off of last week’s mark. The bond sell-off today won’t be taken into consideration to this week’s report, as most of the data is collected at the beginning of the week.
Yesterday Trump had been talking to libertarian banker John Allison, seemingly about the position of Treasury secretary, but it has been confirmed now that that position will be filled by former Goldman Sachs executive Steve Mnuchin.
What does this mean for me?
Another bond sell-off is causing mortgage rates to rise. This is par for the course right now in the mortgage market, and is another sign on the road to higher rates. There are always outliers, but most people looking to purchase a home or refinance their current mortgage should do so sooner rather than later.
Click here to get today’s latest mortgage rates.
Today’s economic data:
ADP Employment Report
The ADP employment report is showing an estimated 216,000 jobs were added in November. That’s much higher than the consensus for 160,000, and points toward strength for this Friday’s jobs report.
Personal Income and Outlays
Personal income rose 0.6% in October, while consumer spending rose 0.3%. The PCE price index went up 0.2% month over month, putting it at 1.4% year over year. The core PCE index went up 0.1% month over month and 1.7% year over year. What does it all mean? While consumer spending is slightly below what was expected, gains in income make this a solid report.
EIA Petroleum Status Report
For the week of 11/25:
- Crude oil: -0.9 M barrels
- Gasoline: 2.1 M barrels
- Distillates: 5.0 M barrels
Fedspeak
Dallas Fed President Robert Kaplan, Fed Governor Jerome Powell, and Cleveland Fed President Loretta Mester all speak today.
Click here to get today’s latest mortgage rates.
Notable events this week:
Monday:
- Nothing
Tuesday:
- GDP
- Fedspeak
Wednesday:
- ADP Employment Report
- Personal Income and Outlays
- Fedspeak
- EIA Petroleum Status Report
Thursday:
- Jobless Claims
- Fedspeak
- ISM Mfg Index
Friday:
- Employment Situation
- Fedspeak
from Total Mortgage Underwritings Blog http://ift.tt/2gxERdY
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