Current Mortgage Rates for Monday, July 24, 2017
Welcome to the Total Mortgage Current Mortgage Rates Blog. There’s some economic data out today, but first, your daily mortgage rate forecast/advice. Don’t feel like reading? Check out our market outlook series.
Where are mortgage rates going?
Busy week could cause volatility
It’s going to be a busy week. Here’s what’s on tap:
There is, of course, the Federal Reserve’s Federal Open Market Committee (FOMC) meeting on Tuesday and Wednesday. Despite the fact that there won’t be a post-meeting press conference with Fed Chair Janet Yellen, the event is still going to be closely watched by investors.
All of the action will take place on Wednesday when we get the written statement. No one expects any adjustments to the current monetary policy plan, but financial market participants will be looking for any changes to that statement.
Right now, the CME Group’s Fed Fund futures are giving the chance of a quarter point increase at the December meeting about a 50/50 shot at happening.
Out of the next few meetings, those are the best odds. The word out from the Fed lately has been a bit of a mixed bag, with Janet Yellen even coming out recently and taking a bit more dovish tone than usual.
As far as mortgage rates are concerned, a more hawkish (quicker tightening schedule) Fed would put upward pressure on rates, while a more dovish (slower tightening schedule) would keep them lower. The market reaction should happen fairly quickly once the written statement gets released at 2:00pm.
White House Noise
If you’ve been paying attention the past few months, you know that investors don’t like when things get rocky over at the White House. With three high-profile testimonies this week (Jared Kushner, Trump Jr., and Paul Manafort) from White House insideres, the potential for disrupting headlines is very real.
Kushner goes first today and tomorrow, while Manafort and Trump Jr. will testify on Wednesday. None of the testimonies will be public. No one really knows what will come of these events, but there is enough risk and uncertainty to keep investors on their toes. Any news that is damaging to President Trump will likely push mortgage rates lower.
Finally, on Friday we get the first estimate for second quarter GDP. Analysts are projecting an impressive jump up to 2.6%. If that happens, we could see mortgage rates move higher as we head into the weekend.
Mortgage rates have been trending lower for over two weeks now. With everything happening this week, it’s very difficult to make a definitive statement on where we will be come Friday afternoon.
It’s one of those weeks where you really need to pay attention to the news and how it is affecting the mortgage market.
What does this mean for me?
Lock while rates are low
Mortgage rates are still around some of the lowest levels of 2017. That means right now remains a great time for anyone looking to purchase a home or refinance their current mortgage to lock a rate.
To get the most accurate idea of what kind of rate we could offer, you should fill out our short form and get a personalized rate quote. Or, if you’d rather talk to someone, you can always call one of our experienced mortgage specialists.
They can walk you through the same process, clarifying any questions you may have, and let you know what your custom rate quote is.
Today’s economic data:
PMI Composite Flash
The PMI composite flash for July came in at 54.2. Manufacturing came in at 53.2 and services at 54.2.
Existing Home Sales
Existing home sales for June came in a little under expectations at an annualized rate of 5.530 M.
Notable events this week:
- PMI Composite Flash
- Existing Home Sales
- FOMC Meeting Begins
- S&P Corelogic Case-Shiller HPI
- Consumer Confidence
- New Home Sales
- EIA Petroleum Status Report
- FOMC Meeting Ends
- Durable Goods Orders
- International Trade in Goods
- Jobless Claims
- Consumer Sentiment
Source: Total Mortgage Underwritings Blog