This week gave the market a little relief while also showing that the economy is still holding steady.
Oil prices moved lower later in the week, which helped calm some inflation concerns and gave mortgage rates a little support.
Housing was also a focus this week. Builder confidence improved slightly, pending home sales moved higher, and building permits improved. Housing starts pulled back, but overall, the reports showed that buyers and builders are still active.
The job market also continued to hold up, with jobless claims staying low. That is positive for the economy, but it may also mean the Fed stays patient before making any major changes to its interest rate policies.
What This Means
Mortgage rates improved slightly this week, but they may continue to move around as markets react to inflation, oil prices, and new economic reports.
Looking Ahead
Next week is a shorter week because of Memorial Day, but there are still important reports to watch. The biggest one will be the Personal Consumption Expenditures (PCE) report, which helps show where inflation is heading.
Mortgage rates fluctuate daily—sometimes even within the same day—based on economic conditions.
Next Week’s Economic Reports to Watch:
• Monday: Memorial Day
• Tuesday: Case-Shiller and FHFA appreciation reports
• Wednesday: Mortgage Apps
• Thursday: Personal Consumption Expenditure (PCE), Jobless Claims, Durable Goods Orders, New Home Sales
• Friday: None Scheduled
Miguel Terrazas
Mortgage Planner/Planificador Hipotecario // NMLS #227518
