Please enjoy this quick update on what happened this week in the housing and financial markets.
|Britain's vote to leave the European Union (Brexit) continued to shock markets. Traders seeking safety placed money into U.S. bonds, contributing to lower rates.|
|Although indications point to the economy gaining momentum in Q2, global events could make Q3 growth unlikely. A slowing economy would support lower rates.|
|Expectations of a Fed rate increase have disappeared, and traders are now talking about a possible rate cut. Rate cut speculation is good for mortgage rates.|
|Case-Shiller reports that home prices are still rising, with a 5.4% increase year-over-year in April. Strong employment and low rates continue to be factors.|
|Pending home sales were down slightly, the first annual drop in 2 years. However, the drop is blamed on tight inventory rather than a lack of demand in the market.|
|Fannie Mae reports that serious delinquencies were at 1.38% in May, the lowest level since 2008. The normal delinquency rate historically is below 1%.|
Rate movements and volatility are based on published, aggregate national averages and measured from the previous to the most recent midweek daily reporting period. These rate trends can differ from our own and are subject to change at any time.