Mortgage Blog

As I said yesterday, I would spend more time on the researches(other than reading Fannie Mae guidelines). The fed two day meeting ends this afternoon. And Here is what we know about what the Fed thinks:

1)The Fed will not hike rates today.
2)The Fed is on track to hike rates at the next meeting.
3)Fed is on tract for the balance sheet tapering(selling bonds)
4)The Fed is aware of potential future impacts from any trade wars
5)The Fed expects inflation to gradually increase

The current bonds is at 2.97% today. Once the bonds stays above 2.95 level, then the recent 2018 higher interest rate will be a floor for the rest of the year.