Mortgage Rate Update – Week of June 15, 2009
posted in Mortgages, Smyrna Vinings Real Estate |Welcome back!
The week in review:
Home loan rates have been on an uphill climb the past several weeks. Although mortgage rates were able to turn the corner and muster up improvement the last two days of the week, they still ended the week up .25% to .375%.
What to expect:
The best news for rates is that the Treasury will not be selling additional treasury bonds into the market this week. Hopefully, the break from the added supply will help the bond market continue the trend started on Thursday and Friday of last week and result in rate improvement.
Tuesday and Wednesday will give us a picture of where we are from an inflation standpoint. We have heard several times from Fed members that inflation is expected to be tame in the short term. So, we would not expect any negative inflation rising news.
There are several other reports this week that gauge the overall economy. Weak economic news generally causes rates to go down.
Breg-ometer:
Next 7 days: Rates decrease from steep climb over past weeks
Next 30 days: Volatile conditions. Rates could improve.
Next 90 days: Neutral. What will the Fed do next? Is recession ending?
Courtesy of:
Bob Bregitzer
[where: 30339]
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