fed - The Mortgage Porter

It’s Fed Day! Fed Funds Rate Unchanged.

May 7, 2025 by Rhonda Porter Leave a Comment

This afternoon (11:00 am PST) wraps up the two-day FOMC meeting and we will learn if the Fed has decided to make any adjustments to the Fed Funds rate. Although the Fed does not directly control the interest rate of mortgage loans (except for home equity lines of credit that follow the prime rate), mortgage interest rates are influenced by the actions by the Fed.

Odds are that there will be no changes to the Fed funds rate today. Markets will be paying close attention to what Fed Chair Jerome Powell has to say following the Fed’s announcement of their rate decision. [Read more…]

Filed Under: The Fed - FOMC Tagged With: fed, fomc

It’s FED Day! [Live post]

May 1, 2024 by Rhonda Porter Leave a Comment

Around 11:00 PST today, the FOMC (Federal Open Market Committee aka The Fed) will wrap up their two-day meeting with an announcement on any adjustments they are making to the federal funds rate. Although the Fed does not directly control mortgage interest rates*, the changes to the funds rate and the Fed’s commentary influences the direction of mortgage interest rates. Mortgage rates are based on bonds (mortgage-backed securities or MBS) and are traded, just like other types of bonds. Markets will react to the Fed’s actions and this will impact mortgage rates. Commentary or signs that inflation is not getting into check will push mortgage rates higher and indications that inflation is taming and that the Fed will lower the funds rate soon will help lower mortgage interest rates. [Read more…]

Filed Under: The Fed - FOMC Tagged With: fed, fed funds rate, fomc, helocs

It’s FED Day!

March 20, 2024 by Rhonda Porter Leave a Comment

Today the FOMC wraps up their two-day meeting and around 11:00 am PST, we will learn if the Fed is going to make any adjustments to the Fed Funds rate. It is widely expected they will not adjust the rate today.

What may impact mortgage interest rates today will be the press release and Fed Chair Powell’s commentary following the meeting.

As I write this post at 7:58 a.m., mortgage-backed securities are pretty flat with the 30YR 6% up 3 basis points. The DOW is up 33 to 39,243. [Read more…]

Filed Under: The Fed - FOMC Tagged With: economy, fed, fund funds rate., inflation, interest rates

Mortgage Rates Dramatically Increase

April 5, 2022 by Rhonda Porter Leave a Comment

Today mortgage rates jumped about 0.25-0.375 in interest rate or about a full point (1% of the loan amount) in fee. Mortgage rates have been trending higher since the beginning of this year. Today’s movement with mortgage rates is a pretty significant increase for one day.

The is largely due to Federal Reserve Governor Brainard stating today that they are going to start rapidly liquidating their balance sheets as well as being more aggressive with increasing the federal funds rate. Combine this with inflation and mortgage rates will continue to push higher. [Read more…]

Filed Under: Interest Rates, The Fed - FOMC Tagged With: fed, inflation, interest rates