Here we go with yet another week. We should be in for a bit of action with a handful of speaking engagements from Federal Reserve officials and the September Jobs Report on Friday morning.
Mortgage rates will likely remain in a tight range but it wouldn’t be too surprising if they jumped around a little. Read on for more details.
Where are mortgage rates going?
Mortgage rates poised to stay in tight range
Mortgage rates have been on the rise for a little over a month now.
Last week, the Federal Reserve followed through with a widely anticipated increase to the nation’s benchmark interest rate, the federal funds rate.
Financial market participants had already priced that rise into their portfolios so there was little commotion once the final verdict came through.
Looking ahead to the rest of the year, investors are giving the December meeting the greatest odds of another quarter point increase with about an 80% chance according to the CME Group’s Fed Funds Futures.
Getting back to events closer on the horizon, we have several speaking engagements from Federal Reserve officials this week.
It will be interesting to get their takes on the recent decision and see if they offer any insight into what might happen in the coming months.
Also this week, we have the monthly jobs report for September out on Friday morning.
That report is always one of the most closely watched pieces of economic data every month and there’s no reason to believe that this time around will be different. Depending on what happens, we could see mortgage rates rise or fall as we head into the weekend.
Lock now before rates move even higher
Mortgage rates have been moving higher recently and that trend is expected to continue over the coming weeks and months.
If you’re on the market for a purchase or refinance, we strongly recommend that you take action sooner rather than later in order to get the best rate possible.
The longer you wait, the more likely it is that you will be locking in a higher rate and paying more in interest over the life of your loan.
Today’s economic data:
- Atlanta Fed President Raphael Bostic at 8:30am
- Minneapolis Fed President Neel Kashkari at 11:00am
- Boston Fed President at 12:15pm
PMI Manufacturing Index
The PMI Manufacturing Index hit a 55.6 for September. That’s slightly above the consensus for 54.5.
ISM Mfg Index
The ISM Mfg Index hit a 59.8 in September.
Notable events this week:
- PMI Manufacturing Index
- ISM Mfg Index
- Construction Spending
- ADP Employment Report
- PMI Services Index
- ISM Non-Mfg Index
- EIA Petroleum Status Report
- Jobless Claims
- Factory Orders
- Employment Situation
- International Trade