Mortgage rates

A report by Black Knight shows still-increasing home prices, which is bad news for prospective buyers, but good news for existing homeowners, who are gaining equity.

The markets had a full week to absorb Fitch Ratings' U.S. downgrade, but today's inflation news could cause some near-term volatility.

Product availability for July remained at levels last seen in 2013 as rates briefly broke above the 7% mark during the month, the Mortgage Bankers Association said.

But a Zillow economist argues that there's plenty of evidence suggesting strong GDP and job growth had more to do with the increase than what Fitch did.

The yield on 30-year securities has climbed almost 25 basis points over the past three sessions, returning it to levels last seen in mid-November when inflation was still above 7%, more than double the current rate. Ten-year borrowing costs rose to around 4.15%. 

Homeowners with higher rates willing to sell in the next few years are mitigating the pricey housing market by purchasing points or pursuing smaller properties.

But the 25 percentage point quarter-to-quarter gain does not change the fact that existing homes for sale remain scarce, the TrustEngine report found.

There's divergence of opinions between one more rate hike this cycle and no further actions.

The 30-year fixed, which was threatening going above 7% again according to Freddie Mac data, was 18 basis points lower this week.

By "going big" in 2020, the Federal Reserve has managed to disrupt the term structure of interest rates to an alarming degree, writes the Chairman of Whalen Global Advisors.