Since there was no Friday update due to Juneteenth, here is a recap of the markets that were watched last week.
The Fed stayed on hold, but its message was more cautious. Inflation remains the focus, and markets are now watching whether rates may need to stay higher for longer.
Oil prices and global headlines also played a role. Lower oil prices helped ease some inflation pressure, but markets remain sensitive because energy costs can affect business costs and everyday prices.
Last week’s reports gave mixed signals. Housing and consumer data are still being watched closely, while jobless claims showed the labor market remains steady.
To start this week, mortgage bonds are slightly weaker as investors wait for fresh inflation data.
What This Means
Mortgage rates may continue to move around as markets react to inflation, Fed comments, oil prices, and global headlines.
A cooler inflation report could help calm the market, while a hotter report could add pressure to rates.
Looking Ahead
The main report this week will be Thursday’s Personal Consumption Expenditures (PCE) report. This is one of the inflation reports the Fed watches closely.
Markets will also look at other reports this week for signs of how the economy, housing, and consumer spending are holding up.
Mortgage rates fluctuate daily—sometimes even within the same day—based on economic conditions.
Miguel Terrazas
Mortgage Planner/Planificador Hipotecario // NMLS #227518
