Special offer

Today's Federal Reserve Meeting

By
Mortgage and Lending with FAMILY HOME LOANS

The Federal Open Market Committee decided today to keep its target for the federal funds rate at 5-1/4 percent.

Economic growth slowed in the first part of this year and the adjustment in the housing sector is ongoing. Nevertheless, the economy seems likely to expand at a moderate pace over coming quarters.

Core inflation remains somewhat elevated. Although inflation pressures seem likely to moderate over time, the high level of resource utilization has the potential to sustain those pressures.

In these circumstances, the Committee's predominant policy concern remains the risk that inflation will fail to moderate as expected. Future policy adjustments will depend on the evolution of the outlook for both inflation and economic growth, as implied by incoming information.

As a result, mortgage bonds are reacting to the news and are down -16 basis points.  None of our lenders have issued a rate increase yet so we'll see what happens tomorrow.  

As of today we are looking at a 6% interest rate (APR 6.056) for a 30-year fixed.  We'll see what happens tomorrow. 

Have a GREAT day!

Comments (1)

1~Judi Barrett
Integrity Real Estate Services 116 SE AVE N, Idabel, OK 74745 - Idabel, OK
BS Ed, Integrity Real Estate Services -IDABEL OK
That rate sounds pretty good.  Thanks for posting the information.
May 09, 2007 08:00 AM