Thank you to our in house Coldwell Banker Lender for keeping us up dated on the changes in rates and the mortgage market.
There was no major economic data released during the week, and even a weak 30-yr Treasury auction on Thursday failed to stall the rally in mortgage markets. As a result, mortgage rates ended the week moderately lower.
At their last meeting, the Fed indicated that monetary policy would remain on hold for quite a while. While the Fed acknowledged that it will eventually have to raise the fed funds rate, the message was clear that rate hikes are still a long way off. A series of Fed speakers this week elaborated upon their current thinking. A solid majority of Fed officials feel that the economy is still too fragile and the labor market is too weak to begin to raise rates. Confirmation that rate hikes are a long way off encouraged investors to purchase stocks and mortgage-backed securities (MBS), and both equity markets and mortgage markets have performed very well since the Fed’s announcement.
Since the Fed meeting on Wednesday of last week, mortgage rates have improved a little each day. There was no major economic data released during the week, and even a weak 30-yr Treasury auction on Thursday failed to stall the rally in mortgage markets. As a result, mortgage rates ended the week moderately lower.
At their last meeting, the Fed indicated that monetary policy would remain on hold for quite a while. While the Fed acknowledged that it will eventually have to raise the fed funds rate, the message was clear that rate hikes are still a long way off. A series of Fed speakers this week elaborated upon their current thinking. A solid majority of Fed officials feel that the economy is still too fragile and the labor market is too weak to begin to raise rates. Confirmation that rate hikes are a long way off encouraged investors to purchase stocks and mortgage-backed securities (MBS), and both equity markets and mortgage markets have performed very well since the Fed’s announcement.
Northern Colorado Real Esate Specialist