More important than today's move, McBride and other analysts said, is the aggregate impact on borrowing costs from what is expected to be a series of rate cuts in the months ahead. "By itself, one rate cut isn't a panacea for borrowers grappling with high financing costs and has a mini...
Another Fed rate cut is now official. Here's what that could mean for mortgage interest rates.
This helps support the flow of credit, which tends to have an overarching impact on mortgage rates.The Fed's latest meeting At its meeting on Jan. 28-29, the Federal Open Market Committee (FOMC) voted to hold its benchmark interest rate at its current range of 4.25-4.5 percent. ...
Mortgage rates skyrocketed even as the Fed cut the overnight federal funds rate twice: by half a percentage point on Sept. 18 and by a quarter of a percentage point on Nov. 7. This goes to show that mortgage rates sometimes zig when the Fed zags. Not usually, but sometimes. The discon...
Holden Lewis
rate outlook had an immediate impact on the 10-year treasury yield, which jumped 11 basis points Wednesday afternoon and then another 6 basis points Thursday.4This abrupt rise in the 10-year yield is what has triggered a surge of 20 basis points in Wednesday and Thursday mortgag...
Most analysts and investors expect a first rate cut in June, though May remains possible. Fed officials, after meeting in December, projected that they would cut rates three times this year. Advertisement In his remarks Wednesday, Powell offered no hints on the ...
With economists pushing back their rate-cut forecasts to mid-2024, the initial impact was on the stock market, with the Dow Jones Industrial Averagefalling 525 points, or 1.4%, on Tuesday. Investors had been pushing stocks higher on expectations that the Fed would soon cut rates, which could...
That's nearly 1% higher than the 6.09% average rate from September 19, 2024, which was the rate immediately available after the Fed's first rate cut in over four years. But as experts point out, the Fed's decisions aren't the only indicator of where mortgage rates are headed. "If ...
How does a Fed rate cut impact HELOCs and home equity loans?When the Fed cuts interest rates, the impact on HELOCs and home equity loans can be immediate. But it varies, reflecting the different nature of these two forms of borrowing....