News You'll Use

Mortgage rates were flat this week, as rates have not moved significantly despite stronger jobs number and inflation data. The market is still pricing in six rate cuts for 2024 despite the hotter than expected CPI number. To put it simply, the market is looking through the stronger than expected jobs numbers of last Friday and the hotter than expected CPI data. The economy is not slowing yet, but the thinking is that the Fed will want to start cutting before the economy slows. The Fed is not projecting that they will cut rates at that fast of a pace. We will get a better sense of how aggressive the Fed is wanting to be after their meeting at the end of the month.

• U.S. 10-year Treasury on Thursday afternoon is at 3.968%.

• CPI came in higher than analyst's expectations (+0.3% m/m vs expectations of +0.2% m/m).

• Core-CPI came in-line with analyst's expectations (+0.3% m/m).

• Initial Jobless Claims came in lower than analyst's expectations (202k claims vs expectations of 210k claims).

• Mortgage Applications rose 9.9% this week.