Friday, March 22, 2019

Mortgage Rates Down 0.25% This Week; Freddie Downgrades Economy, but Not Housing; Existing Sales Post Huge Gain

At the end of last week, the average top-tier 30yr fixed mortgage rate quote was 4.375%. As of today, the exact same scenario would be at 4.125%--a quarter of a percentage point lower. That's an uncommonly big move for a single week, but it's one we've been tracking eagerly in recent days. Why is it happening? The first phase of the move had to do with the Fed's surprisingly friendly policy announcement on Wednesday. Due to the time of day that the Fed news came out, markets didn't have a chance to fully react to it until yesterday. Even so, the drop in rates was already much bigger than average. But this morning took it to the next level. In the middle of the night (in the US, anyway), economic data for Europe was released that showed a serious slowdown in German and French manufacturing.

from
http://www.mortgagenewsdaily.com/reports/newsletter/2019/3/22/3842

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