Bond Market Update

Bond Market Update

 Mortgage pricing is worse than it was yesterday

Source: Thomson Reuters

Market Update

Wednesday, May 22, 2024

What's going on and why does it matter?
Mortgage bonds opened lower this morning as the bond market reacts to news out of the UK that inflation came out higher than expected. This follows comments from the Central Bank of Germany that inflation is expected to remain elevated there as well. This is dashing the bond market's hopes of a summer rate cut in Europe, and investors are readjusting their bond portfolios to reflect this. Meanwhile, here in the US, the minutes from the last Federal Reserve monetary policy meeting are scheduled for release this afternoon and could trigger a market reaction.

What should you do about it?
Lock your rate to be safe.

Economic Calendar

Economic reports that may impact mortgage rates this week:
Date Report Period Prior Est. Actual
Wed 22 May Existing Home Sales Apr 4.22M 4.21M 4.14M
Thu 23 May Initial Jobless Claims Week ending May 18 222k 220k  
Thu 23 May New Homes Sales Apr 693k 675k  
Fri 24 May Durable Goods Apr 2.6% -0.7%  
Fri 24 May U of Mich. Consumer Sent. May 67.4 67.6