• Testimonials
  • Video Library
  • Contact

William A. Tuning

Semper Home Loans, Inc., Olympia, WA

  • Home
  • About
    • About William Tuning
    • Apply For A Loan With Me
    • Semper Home Loans Corporate Website
    • Customer Testimonials
    • My Daily Blog
    • Privacy Policy
    • Site Security
    • Disclosure
    • Apply For A Job – Work With William
  • Mortgage Info
    • Buyer Info
    • Seller Info
    • Closing Costs
    • Home Appraisal
    • Home Inspection
    • Loan Process
    • Loan Checklist
    • Loan Programs
    • Mortgage FAQ
    • Mortgage Glossary
  • Blog
  • Apply Now

Archives for December 18, 2017

What’s Ahead For Mortgage Rates This Week – December 18, 2017

December 18, 2017 by William Tuning

Last week’s economic reporting included readings on inflation, core inflation and the Post-meeting statement of the Fed’s Federal Open Market Committee. Fed Chair Janet Yellen also gave a press conference; weekly readings on mortgage rates and new jobless claims were also released.

Inflation Rises in November

U.S. inflation rose by 0.30 percent to 0.40 percent in November; October’s reading was 0.10 percent and November’s reading met analysts’ expectations. Core Consumer Price Index readings for November posted a gain of 0.10 percent, which fell short of the expected reading and October’s reading of 0.20 percent. Core CPI readings are less volatile as they do not include volatile food and energy sectors.

FOMC Statement: Fed Raises Target Rate

The post-meeting statement of the Federal Reserve’s Federal Open Market Committee cited strong economic signs in its decision to raise the target federal funds range by 0.25 percent to 1.25 percent to 1.50 percent. The Committee indicated that it expects inflation to hold steady in the near term and to stabilize closer to the Fed’s goal of two percent annually in the medium term.

Fed Chair Janet Yellen gave a press conference after the FOMC statement was released. She cited strong labor markets and low unemployment as signs of healthy economic conditions. The Fed’s dual mandate of achieving maximum employment and stable pricing has not been met due to lagging inflation. The Federal Reserve’s goal of 2 percent annual inflation fell short at 1.60 percent year-to-date. Job growth was strong with job growth expanding at a monthly average of 170,000 jobs over the past three months.

The Fed expects the inflation to achieve its 2 percent goal in 2019; unemployment is expected to remain at or near its current rate of 4.10 percent. This was good news as the expected exit of aging workers will increase in coming years as baby-boomers retire. Ms. Yellen affirmed her intention to aid in a smooth transition for the Federal Reserve as incoming Chair Jay Powell prepares to take over in February.

Mortgage Rates, Mixed, Weekly Jobless Claims

Fixed mortgage rates averaged one basis point lower last week with the rate for a 30-year fixed rate mortgage at 3.93 percent. The rate for a 15-year fixed rate mortgage averaged 3.36 percent’ the average rate for a 5/1 adjustable rate mortgages rose one basis point to 3.36 percent. Discount points averaged 0.50 percent for fixed rate mortgages and 0.30 percent for 5/1 adjustable rate mortgages. Analysts said that lenders expected the Fed to raise rates and so factored in an increase of long term loan rates over time.

New Jobless claims dropped by 11,000 last week to 225,000. Analysts had expected 235,000 new claims based on the prior week’s reading of 236,000 new claims.

Mortgage Rates Tagged: Mortgage Rates

William A. Tuning

William A. Tuning


VP / Western Retail Branch Division
NMLS 68476
Semper Home Loans, Inc.
Company NMLS 1053
Direct: 360.539.4687

Licensed in Washington and Oregon   

APPLY NOW →

RATE QUOTE →

Connect With Me

  • Facebook
  • Google+
  • LinkedIn
  • Twitter
  • YouTube

Calculate Mortgage Payments

Mortgage Calculator

Categories

December 2017
M T W T F S S
« Nov   Jan »
 123
45678910
11121314151617
18192021222324
25262728293031
Equal Housing Logo
Semper Home Loans, Inc.
1115 West Bay Drive NW, Third Floor #302
Olympia, WA 98502

Copyright © 2019 William A. Tuning  ·  All rights reserved   ·   Log In