The Week in Review:
As predicted, home loan rates came down at the beginning of last week after the increase the week before. However, home loan rates inched up the rest of the week and rates ended up virtually unchanged.
What to Expect:
The dramatic decrease in mortgage rates began at the beginning of April and reached the low point at the end of August. Home loan rates now have moved up a bit and some feel they may have started the process of moving back upwards. The market is attempting to determine the next direction as is evident by the high level of volatility (rapid daily fluctuations) we are seeing right now.
On Tuesday, the Fed meets and will be announcing their Monetary Policy and Rate Decision. The markets will be listening and, as always, they could provide economic insight that could change market momentum. Equally important will be any news about the necessity for additional accommodation to support economic recovery.
Breg-ometer:
Next 7 days: Fed announcement can move market either direction
Next 30 days: Uptick in rates possible
Next 90 days: Neutral
Courtesy of:
Bob Bregitzer
Southeast Mortgage
[where: 30080]