Mortgage rates have consistently crept up a little each week through 2018, hitting 4-year highs. Even still, rates are historically low, which may make it a good time to buy. The rising bond yields responsible for higher mortgage rates have also shaken up the stock markets. There is a lot of fear that we may see accelerated inflation. The outlook ...

The government shutdown had a nominal effect on markets and no effect on rates. Another shutdown is possible February 8th, the new deadline for a deal. The dollar slumped this week, its biggest weekly decline in 18 months. Treasury Secretary Steven Mnuchin says a weaker dollar could boost U.S. trade though. Jobless claims were up from last week’s 45-year low, but still ...

Recently released economic data shows the economy is growing, but inflation is still not a problem. Rising inflation pressures mortgage rates to move higher. The Fed is expected to leave policy rates unchanged at this month’s meeting but raise them at December’s meeting, despite lack of inflation. Unemployment benefit claims fell to a 44-year low last week. This points to ...

The minutes released from last month’s Fed meeting showed some members don’t agree that low inflation is transitory. Low inflation helps keep rates low. However, it’s still expected that the Fed will leave rates unchanged in Oct/Nov but will hike policy rates in December. There’s an 88% probability, at the moment. Producer prices rose in September as gasoline prices jumped. ...

President Trump released his plan for tax reform this week, which is expected to stimulate economic growth. A hotter economy could contribute to higher rates. Consumer confidence fell slightly in September, despite a strong labor market. The decline is likely temporary and due mainly to Hurricanes Harvey and Irma. The economy grew a bit faster than previously estimated in the ...

Jobless claims hit a near 5-month low this week, supporting economic growth. Sustained labor market strength could contribute to higher rates. By: Fred Arnold | American Family Funding The failure to pass a new health care reform bill has traders questioning possible tax cuts and infrastructure spending, and is supportive of lower mortgage rates. Recent economic data has cast doubt ...

Job growth surged to 222,000 in June, and jobless claims were also down this week. Strong employment keeps the Fed on track to raise rates again this year. By: Fred Arnold | American Family Funding The producer price index, a key gauge of inflation, was up 0.1% last month. Fed officials are closely watching inflation, which pressures mortgage rates higher. ...

FOMC Minutes By: Fred Arnold | American Family Funding Why should the Fed be any different than the rest of the United States Government? Everyone already knows that Congress could not be more divided. Well…the Fed appears to be divided as well. The latest FOMC Minutes show that many policy makers want the Fed to start unwinding the Fed’s balance ...

Case-Shiller’s Home Price Index In recent weeks, I have been mentioning how the Summer and Fall housing markets are being predicted, by some experts, to be far above average. We should hope they are correct on account that the early Spring market was a rather large disappointment. The latest Case-Shiller’s home price index increased by a rather small 0.3 percent ...

I remember a time that the stock market would go wild in the days leading up to a Fed announcement about interest rates. By: Fred Arnold | American Family Funding This week at the FOMC meeting, the Fed raised interest rates by ¼ percent. The announcement came out on Wednesday afternoon at 3:15PM, and investors reacted with little more than ...