The weekly average rate for a 30-year fixed-rate mortgage was down Thursday.But a daily mortgage rate tracker shows rates going up.Analysts say the market is reacting to concern more Fed rate cuts may not be coming.<\/p>\n
The weekly average rate for a 30-year fixed-rate mortgage was down again<\/a> Thursday, but a daily tracker registered a rise in rates a day after the Federal Reserve\u2019s first interest rate cut<\/a> this year.<\/p>\n Mortgage rates were at 6.37% for a 30-year fixed rate loan by midday Thursday, according to Mortgage News Daily,<\/a> up 0.15 percentage points from Wednesday\u2019s daily index of 6.22%, posted after the Fed lowered its benchmark interest rate by a quarter point.<\/p>\n On Tuesday, Mortgage News Daily listed the lowest mortgage rate<\/a> in nearly three years, 6.13%. <\/p>\n \u201cIt\u2019s day two of mortgage rates surging higher<\/a> \u2014 now back to the highest levels in two weeks,\u201d the site\u2019s Matthew Graham posted Thursday. \u201cThe juxtaposition of yesterday\u2019s Fed rate cut and the sudden mortgage rate spike is incredibly confusing to most of the population.\u201d<\/p>\n Buyers who didn\u2019t lock in the lower rates are \u201clate to the party,\u201d he said, pointing out that while mortgage rates \u201care still lower than almost all of the past 11 months,\u201d they\u2019re now \u201cSHARPLY higher between yesterday and today (roughly 0.25%, which is a very big 2-day move).\u201d<\/p>\n The reason for the shift in direction? Concern over whether more interest rates cuts are coming after Fed Chairman Jerome Powell told reporters that Wednesday\u2019s action was \u201crisk management,\u201d Graham explained in another post<\/a> Wednesday. <\/p>\n He said Powell\u2019s remarks countered the support signaled by members of the Fed at Wednesday\u2019s meeting for two additional cuts this year in the interest rate that banks charge one another for short-term loans. <\/p>\n The long-term bond market tied to mortgage rates responded to what Graham said is the Fed continuing \u201cto take things on a meeting by meeting basis and make decisions based on the new data that becomes available over that time.\u201d <\/p>\n Chen Zhao, head of economics research for the online brokerage firm Redfin, offered a similar analysis.<\/p>\n \u201cChair Powell\u2019s press conference emphasized the uncertainty in the rate cut projections and pushed back on the optimism for a string of cuts that had built before today\u2019s meeting,\u201d Zhao said in a post<\/a>.<\/p>\n Noting mortgage rates have rebounded on \u201ca strong possibility of no more rate cuts,\u201d she forecast that they \u201cwill remain steady as bond market participants await further economic data, particularly the next jobs report on October 3.\u201d<\/p>\n As of Thursday, the weekly average<\/a> for a 30-year fixed-rate mortgage was at 6.26%, according to the Federal Home Loan Mortgage Corporation better known as Freddie Mac. That\u2019s 0.09 percentage points lower than the average for the week ending Sept. 11.<\/p>\n The weekly average rate, which rose above 7%<\/a> in January, hasn\u2019t been that low since October 2024. Mortgage rates have been falling in recent weeks following indications<\/a> from Powell that a rate cut was likely.<\/p>\n","protected":false},"excerpt":{"rendered":"The weekly average rate for a 30-year fixed-rate mortgage was down Thursday.But a daily mortgage rate tracker shows…\n","protected":false},"author":2,"featured_media":167046,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[36],"tags":[28,101,5817,8793],"class_list":["post-167045","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-business","tag-economy","tag-news-division","tag-news-feed-national"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/167045","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=167045"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/167045\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/167046"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=167045"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=167045"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=167045"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}