Mortgage Rates Hold Steady Despite Politcal Turbulence
Mortgage rates were steady over the past week, holding near their lowest levels since mid-February and down about 10 basis points from their early March peak. Rates are still about 40 basis points higher than where they stood in spring 2017.
Markets were calm leading into the Good Friday holiday, despite fears about an escalation in trade tensions between the United States and China, along with some stock market volatility. However, these fears have not yet meaningfully spilled over into bond markets. That could change at any time.
Over the coming week, Friday’s jobs report is the most important economic data release on the horizon. By all expectations, it should be another strong report, which would do little to shift interest rate forecasts – unless wage growth proves to be particularly strong. Either way, the job signal will likely be blurred by the wintry weather much of the Northeast experienced in March.