Lower Mortgage Rates - Missed Opportunities
We had two chances to drive interest rates back down and neither seemed to have the effect we wanted.
First was the FOMC Meeting where the fed cut .25%. This resulted in some very very temporary gain in the mortgage bond market but were quickly erased and fell back flat at the higher rates we settled into last week.
Second was the jobless claims report which came in better than expected and sent rates shooting upward, but has now calmed down and sunk back into the levels we were at before.
To me this signals that we are settling into this new higher band of mortgage rates for the time being. I don’t expect to see rates drop much below 5.875% in the coming weeks. If things change as always I will update, but after these two missed opportunities at getting back to lower rates I think we are stuck here.