What On Earth Day Is Going On With Mortgage Rates? – April 22, 2024

Video Transcript

It’s Earth Day, as in, “What on Earth is going on with mortgage rates?” This week, 30-year fixed-rate mortgage rates open at their highest levels of the year, undoing all of the winter’s gains just because inflation gave a few bad readings over the last two weeks. And now, the Federal Reserve plan to start easing back on interest rates could possibly be in jeopardy. Not for sure in jeopardy, just possibly.

And that’s enough to have Wall Street on edge, markets off balance, and mortgage rates on tilt. This week could be unsteady for home buyers, at least until Thursday. That’s the main day to watch on your calendar.

That’s when the Fed’s preferred inflation gauge, Personal Consumption Expenditures, is released by the Bureau of Economic Analysis. That’s another point of data for a data-dependent Fed on whether inflation is decelerating as it was in the fall or holding flat. Deceleration will pull mortgage rates right back down.

Check our main channel for more mortgage news. I’m Dan with Homebuyer.com. Happy homebuying!