Welcome to the Total Mortgage Current Mortgage Rates Blog. There’s some economic data out today, but first, your daily mortgage rate forecast/advice. Don’t feel like reading? Check out our Market Outlook series to get an overview of what’s happening this week.
Market Outlook 5.22.17 from Total Mortgage on Vimeo.
Where are mortgage rates going?
Investors waiting for FOMC minutes this afternoon
After a brief decline yesterday, the bond market recovered and Treasury yields wound up having their biggest one day increase in two weeks. The release of President Trump’s budget plan played into the recovery, as it provided some optimism about inflation expectations.
Click here to get today’s latest mortgage rates (May. 24, 2017).
The yield on the 10-year Treasury note, which is the best market indicator of where mortgage rates are going, rose a little over three basis points (one basis point = 0.01). Today it’s basically flat. There was a decent bit of economic data out this morning, but nothing meaningful enough to propel investors out of their holding pattern ahead of the release of the FOMC minutes at 2:00pm.
With some weak data complicating the June rate hike picture the past few weeks, financial market participants are looking for something to hang their hat on. It’s not entirely certain that they’ll get what they want, though, as just this past week we’ve gotten several Fed officials stating that they haven’t quite made up their mind about June yet.
Mortgage rates are still near 2017 lows.
If they don’t have a clear vision right now, it stands to reason that they could very well not have a clear vision three weeks ago. At any rate, investors will be looking to see what the general sentiment was at that meeting, and how much debate their was about the state of the economy.
With time ticking on investors will also be looking for any clues about the Fed’s plans to unwind its balance sheet this year. There’s definitely the potential for this release to move the market, with a hawkish (pro June rate hike) Fed being the greatest risk to rising rates.
What does this mean for me?
Keep an eye on rates
Mortgage rates are still at levels that are close to the lowest of the year. There is a definite chance that we will see some movement this afternoon with the release of the FOMC minutes, so it’s important to keep an eye on that report. Depending on what happens, there could be a window of opportunity for borrowers to get in on.
Click here to get today’s latest mortgage rates (May. 24, 2017).
To get the most accurate idea of what kind of rate we could offer, you should fill out our short form and get a personalized rate quote. If you’d rather talk to someone, you can always call one of our experienced mortgage specialists.
They can walk you through the same process, clarifying any questions you may have, and let you know what your custom rate quote is.
Today’s economic data:
FHFA House Price Index
The climb continues for home prices as the latest data shows them up 0.6% in March, putting the yearly rate at 6.2%.
Existing Home Sales
Low inventory remains a factor in this year’s housing market. Existing home sales fell 2.3% month over month in April to a seasonally adjusted rate of 5.57 million. However, it’s not all bad news, as sales are still 1.6% higher than this time last year.
EIA Petroleum Status Report
For the week of 5/24/17:
- Crude oil: -1.8 M barrels
- Gasoline: -0.4 M barrels
- Distillates: -1.9 M barrels
FOMC Minutes
The minutes from the FOMC meeting at the beginning of the month will be released at 2:00pm today.
Fedspeak
- Dallas Fed President Robert Kaplan will speak at 6:00pm.
- Minneapolis Fed President Neel Kashkari will speak at 6:30pm.
- Chicago Fed President Charles Evans will speak at 9:25pm.
Notable events this week:
Monday:
- Fedspeak
Tuesday:
- PMI composite Flash
- New Home Sales
- Richmond Fed Mfg Index
- Fedspeak
Wednesday:
- FHFA House Price Index
- Existing Home Sales
- EIA Petroleum Status Report
- FOMC Minutes
- Fedspeak
Thursday:
- International Trade in Goods
- Jobless Claims
- Fedspeak
Friday:
- Durable Goods Orders
- GDP
- Consumer Sentiment
from Total Mortgage Underwritings Blog http://ift.tt/2qWkuib
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