The Week in Review:
What a week. Investors turned sour on the stock market and set it into a free fall. Money coming out of the stock market was invested in bonds and that helped mortgage rates decrease .125% to .25%. However, the biggest news item of the week came after the markets were closed on Friday.
What to Expect:
After the market’s close on Friday, credit rating agency Standards & Poor’s downgraded the United State’s credit rating from AAA to AA-plus. The downgrade caused the stock market to fall by more than 600 points Monday.
This week’s biggest event happens Tuesday when the Fed meets. They will be talking about the economy, inflation and the possibility of another round of stimulus.
We expect some of the most volatile conditions we’ve seen in some time. Uncertainty creates opportunity for those in search of low interest rates. Even though rates have a chance to come down even more, you can’t go wrong by locking in now.
Breg-ometer:
Next 7 Days: Large swings day-to-day are possible; lock short-term transactions
Next 30 to 90 Days: It’s possible for rates to go lower
Courtesy of:
Bob Bregitzer
Southeast Mortgage
[where: 30339]