Mortgage rates aren’t really going anywhere this morning as we enter a new month. That means that they’re still close to some of the lowest levels of the year. We do have a busy weeks ahead with many opportunities for mortgage rates to adjust. Read on for more details.
Where are mortgage rates going?
Rates flat to start the week
Mortgage rates are flat as we start the week. It’s a fairly busy week for both economic data and speaking engagements from Federal Reserve officials. Last week we got some remarks from Fed Chair Janet Yellen that pushed forward the notion that another rate hike will happen in 2017.
Starting the week, it’s still looking more likely than not that that will indeed happen, with the CME Group’s Fed Funds futures giving it about a 76.7% chance. It will be interesting to see how the overall sentiment from the Fed evolves over the week as nearly a dozen Fed officials make public remarks this week.
Click here to get today’s latest mortgage rates (Oct. 2, 2017).
The way things have been unfolding lately, it seems most likely that the majority of Fed officials will agree with Yellen that another increase to the federal funds rate in 2017 is warranted, but a dissent from one or two would also not be out of the ordinary. Typically, the more aggressive the rhetoric is from the Fed, the more likely it is that mortgage rates will rise.
The main event this week for economic data will be the monthly jobs report (Employment Situation) for September, which gets released on Friday. With the recent hurricanes hitting the United States hard, analysts are expecting a very soft headline reading of just 95,000, with the consensus range being 30,000 to 140,000.
The monthly jobs report is always one of the biggest market moving reports each month, but given the fact that the hurricanes have thrown a wrench into things for September, it remains to be seen what kind of weight investors will put on this report.
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What does this mean for me?
Find out what your rate would be
Mortgage rates are starting the first trading session of October around some of the lowest levels of the year. If you’ve been considering a purchase or refinance, right now is the perfect time to find out what your custom rate would be.
There are no doubt many buyers and homeowners who can get a great deal on a mortgage in this environment. Rates are expected to rise over the coming weeks, so borrowers that act sooner rather than later are more likely to get a better rate.
Today’s economic data:
PMI Manufacturing Index
The PMI manufacturing index came in at a 53.1 for September. That’s one tenth above the consensus for 53.0.
ISM Mfg Index
The ISM manufacturing index came in at a 60.8 for September. That’s above the consensus for 58.0.
Construction Spending
Construction spending rose by 0.5% in August, putting the year over year change at 2.5%.
Fedspeak
- Dallas Fed President Robert Kaplan will speak at 2:00pm.
Notable events this week:
Monday:
- PMI Manufacturing Index
- ISM Mfg Index
- Construction Spending
- Fedspeak
Tuesday:
- Motor Vehicle Sales
- Fedspeak
Wednesday:
- ADP Employment Report
- PMI Services Report
- ISM Non-Mfg Index
- EIA Petroleum Status Report
- Fedspeak
Thursday:
- International Trade
- Jobless Claims
- Fedspeak
- Factory Orders
Friday:
- Employment Situation
- Fedspeak
from Total Mortgage Underwritings Blog http://ift.tt/2yR0xLr
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