Mortgage rates are flat right now as there’s not much happening in the markets. There really wasn’t any significant economic data out this morning, but at 2:00pm we will get the minutes from the most recent Federal Reserve’s Federal Open Market Committee meeting. Depending on what kind of tone the minutes take, we could see rates adjust this afternoon.
Market Outlook 8.14.17 from Total Mortgage on Vimeo.
Where are mortgage rates going?
Rates flat – FOMC minutes on the horizon
Mortgage rates are flat right now as we move toward the midpoint of the trading week. Rates did move a little higher yesterday due to some easing tension between North Korea and the United States, as well as the release of some positive economic data here at home.
There is another chance for rates to change this afternoon when the Fed releases their minutes from the FOMC meeting a few ago. Financial market participants always scour every syllable for hidden clues about happenings at the Fed.
Click here to get today’s latest mortgage rates (Aug. 16, 2017).
With the chances of another rate hike in 2017 continuing to sit around 50% (49.3% chance according to the CME Group’s Fed Fund futures right now) there is the potential for the subtlest of signals to sway the crowd one way or another.
In reality, though, it’s unlikely that we will get a very hawkish statement from the Fed with regards to rate hikes. However, there is certainly the possibility that we will get further details about the unwinding of the Fed’s balance sheet.
Any news about the timing (which officials have still touted as sometime this year) would likely cause investors to sell off government bonds, pushing up yields.
Mortgage rates are closely tied to the yield on the 10-year Treasury note (mortgage backed securities compete for similar investors) so we’d likely see upward pressure on rates. Of course, the FOMC minutes could be a non-event, in which case we’ll probably head into tomorrow right where we are now.
The point is that it’s worth keeping an eye on the market after the minutes are released at 2:00pm today.
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What does this mean for me?
Find out what your rate would be
Mortgage rates continue to hang around levels that are on the lower end of the spectrum for 2017. If you’ve been thinking about a purchase or refinance, it definitely makes sense to take a few minutes and find out what your rate would be.
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. Or, 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:
Housing Starts
Housing starts for July came in at an annualized rate of 1.155 M. That’s lower than the 1.225 M that was expected. Permits also declined, but now by as much, down to 1.223 M.
EIA Petroleum Status
- Crude oil: -8.9 M barrels
- Gasoline: 0.0 M barrels
- Distillates: 0.7 M barrels
FOMC Minutes
- Minutes from the Fed’s July meeting will be released at 2:00pm.
Notable events this week:
Monday:
- Nothing
Tuesday:
- Retail Sales
- Empire State Mfg Survey
- Import and Export Prices
- Business Inventories
- Housing Market Index
Wednesday:
- Housing Starts
- EIA Petroleum Status
- FOMC Minutes
Thursday:
- Jobless Claims
- Philly Fed Business Outlook
- Industrial Production
Friday:
- Consumer Sentiment
from Total Mortgage Underwritings Blog http://ift.tt/2vDDJiI
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