Volatile Week in the Market

By
Real Estate Broker/Owner with Route 56 Realty

 

Over the past week, mortgage rates were pushed and pulled by unusually large movements in global stock markets. The economic data had little impact. After a volatile week, mortgage rates ended just a little higher. 

Concerns about slowing global economic growth, particularly in China, caused the U.S. stock market to decline sharply early in the week. However, with stocks at much lower prices, buyers stepped in later in the week, erasing the week's earlier losses. While the magnitude of the moves were relatively smaller, a similar pattern was seen in mortgage rates. They dropped early in the week and then gave back their improvement later in the week. This relationship between stocks and mortgage rates is common, as investors shift assets between stocks and bonds. 

Comments (1)

Mike Rock
Complete Design - Granite Bay, CA
Granite Bay Luxury New Construction...For Less

i see fannies regulation change that just came thru as effecting things.especially investors & rentals

Aug 29, 2015 09:24 AM