Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

U.S. mortgage rates fall in latest week: Freddie Mac

Published 05/18/2017, 11:34 AM
Updated 05/18/2017, 11:34 AM
© Reuters.  U.S. mortgage rates fall in latest week: Freddie Mac

© Reuters. U.S. mortgage rates fall in latest week: Freddie Mac

NEW YORK (Reuters) - U.S. mortgage rates fell in step with bond yields in the wake of weaker-than-expected domestic economic data and as investors scaled back expectations about interest rate increases by the Federal Reserve in 2017, according to Freddie Mac (PK:FMCC) on Thursday.

The borrowing cost on 30-year mortgages, the most widely held type of U.S. home loan, averaged 4.02 percent in the week ended May 18, down from 4.05 percent the previous week, the mortgage finance agency said.

Mortgage rates will likely fall next week as 10-year Treasury yields have declined on safe-haven demand for bonds due to concerns about potential delays in tax cuts and other fiscal stimulus amid probes into U.S. President Donald Trump's 2016 campaign team and Russia.

On Thursday, the benchmark 10-year Treasury yield (US10YT=RR) fell to a one-month low at 2.18 percent as safety bids for U.S. government bonds grew on worries about a scandal around Brazilian President Michel Temer, spurring a rout in the Brazilian stock market (BVSP).

"The delayed impact of the associated decline in Treasury yields may push mortgage rates lower in next week's survey," Freddie Mac chief economist Sean Becketti said in a statement.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.