What’s Ahead For Mortgage Rates This Week : June 28, 2010
Mortgage markets improved last week in response to mostly negative data about the U.S. economy, and the Federal Reserve’s acknowledgement that Eurozone financial ills could cross the Atlantic.
Conforming and FHA mortgage rates fell last week, extending a rate rally that dates to early-April. Mortgage rates have fallen to several, new, all-time lows during this period and last week was no different.
The best rates of last week hit Thursday morning.
This week, mortgage rates should be volatile, and may rise, too. There’s a bevy of data due for release, and market volume will be light with the long weekend looming.
Monday, the Personal Consumptions Expenditures Price Index is published. More commonly known as “PCE”, the index is the Federal Reserve’s preferred inflation gauge. When inflation is running higher than expected, mortgage rates tend to rise.
Conversely, when inflation is running lower than expected, mortgage rates tend to fall.
Tuesday, the Case-Shiller Index will be released for April’s home prices, along with two consumer confidence reports. As with PCE, strength tends to lead mortgage rates higher and weakness draws them lower.
Thursday, the National Association of REALTORS® releases its Pending Home Sales Index for May and the Department of Labor releases initial and continuing jobless claims number.
Then, Friday, the Bureau of Labor Statistics publishes June’s jobs report, including the Unemployment Rate. This number is always a market-mover, but with the long vacation weekend looming, it’s expected that Friday’s volume will be light on Wall Street, creating extra volatility.
Mortgage rates may be erratic, in other words.
If you’ve been shopping for mortgages, you’ve been rewarded with falling rates. However, will rates cutting new lows almost weekly and expected to reverse soon, it may be a good time to lock up your savings.
Talk to your loan officer ASAP about locking in your rate.
Related posts:
- What’s Ahead For Mortgage Rates This Week : June 21, 2010
- What’s Ahead For Mortgage Rates This Week : June 14, 2010
- What’s Ahead For Mortgage Rates This Week : June 7, 2010
Michael Haigh has 20+ years of professional experience in the banking and mortgage industry. He has the knowledge, education, and dedication to get you the best loan for your situation, answer your questions honestly and completely, and make your mortgaging experience a pleasure. His reputation includes being the number one lender in the country for CitiBank for 9 years, then at Chase for 1 year and now with WJ Bradley since August of 2009. This is because of the quantity of loans, myriad of people he's helped, and his dedication to helping his clients find the perfect loan for them.
