Mortgage Rate Trend Index Up: Aug. 24, 2016
Will rates go up, down or remain unchanged?
Greg McBride, CFA
Chief financial analyst, Bankrate.com
Financial markets have been unbelievably calm and now all eyes will be on Janet Yellen's Friday speech in Jackson Hole, Wyoming. That seems likely to spur some action in markets.
CEO, Arcus Lending Inc., San Jose, California
The big movement in the rate this week could come from Federal Reserve Board Chair Janet Yellen's statement on Friday. My feeling is that the statement will indicate the Fed plan to increase the (federal funds) rate at least once this year. And that should push the mortgage rates up.
Vice president of capital markets, CMG Financial, San Ramon, California
Markets have remained calm over the past few weeks as no major economic event has occurred and overall global tensions have stayed in check for the time being. The Fed is taking a hard look at possibly raising interest rates before the end of the year, with 8 regional banks on board for at least an increase of 0.25%. Although this is a strong majority, the New York Fed has not changed its stance, which tends to be the standard for how the overall policy will be conducted. The purchase season ended with a slight rush, as interest rates continue to remain near record lows, housing prices continue to increase, which has slightly slowed the market in certain metropolitan areas.