Mortgage Rate Update January 23, 2017

Mortgage rates are mostly unchanged from last Thursday’s ‘rate update’.

Will President Trump’s policies help or hurt our economy?  This is one of the primary questions the financial markets are dealing with right now.

On one hand a large infrastructure investment would provide fiscal stimulus that would certainly create growth and possibly pressure mortgage rates higher.

However, on the other hand an anti-free trade platform is likely to hurt economic growth which could help mortgage rates.  I expect the markets will continue to see-saw until additional details are presented.

The economic calendar is fairly light this week.  The highlights include existing home sales (Tuesday), new home sales (Thursday), and Gross Domestic Product (Friday).

From a technical perspective mortgage rates are improving gradually compared to Friday so I will recommend floating.

Current Outlook: floating