August payroll report includes 'huge downward revisions' to previous estimates of June and July job growth, renewing recession worries and prospects for aggressive Fed rate cuts
PCE price index shows inflation continued to cool in July, but at a gentle enough pace that Fed policymakers are now seen as likely to only bring rates down by a hair in September
Investors see a September rate cut as a given, but the latest inflation data suggests recession fears are overblown and that the Fed will start out with a modest, 25-basis point reduction
Fed policymakers are acknowledging that while they're determined not to cut rates until inflation is tamed, they're also worried about waiting too long and throwing the economy into a tailspin
As inflation gets closer to Fed's 2% target, economists at Fannie Mae and the Mortgage Bankers Association predict mortgage rates will continue to drop into the low 6s by the end of next year
Overall inflation rose just 3% on an annual basis in June, according to Bureau of Labor Statistics. The 10-year Treasury yield, an indicator of mortgage rates, plummeted on the news Thursday
Mortgage rates are on the rebound despite encouraging inflation data, as Fed policymakers stick to 'higher for longer' strategy until they see more conclusive evidence economy has cooled
Purchase loan applications have surged for 2 weeks in a row, but rates for conforming mortgages are inching back up toward 7% this week as investors weigh the odds of Fed rate cuts
Key Fed inflation metric expected to drop June 28 following unexpected decline in May wholesale prices and jump in weekly jobless claims to 242K workers, highest level since August 2023
Employers added 272,000 jobs in May, far exceeding the consensus view among economists that payrolls would rise by 180,000 and the average of 232,000 over the past year
Mortgage rates have some room to come back down in June after PCE price index shows annual inflation easing to 2.65% in April, and Q1 2024 GDP growth revised downward to 1.3%
Rates have been in retreat as bond market investors who fund most mortgage loans react to the latest economic news and scaleback in 'quantitative tightening' by Fed policymakers
Bond market investors who fund most mortgage loans are increasingly convinced the latest inflation numbers mean the Federal Reserve won't cut rates in June
The Federal Reserve's preferred inflation gauge moved in the wrong direction last month for the first time since September, but core inflation fell for the 13th consecutive month, to 2.8%
In addition to anticipating 3 rate cuts this year, Federal Reserve policymakers are considering whether to taper the pace at which they unwind the central bank's $7T balance sheet