Recap of last week: Rates moved lower 
Rates were volatile last week as expected, but ended the week better as markets grew convinced the Fed would be forced to make March the last policy rate hike and would have to cut rates as soon as June despite Fed members signaling otherwise. The week ended with hope that we might see rates drop further this week based on market sentiment from Friday.
Mortgage Rate Forecast: Rates could be choppy 
The outlook for rates this week not looking as good as they did Friday after seeing rates move higher to start the week due to market sentiment shifting. Markets now speculating that the Fed could raise rates again in May, and although still anticipating rate cuts, markets now think those cuts will come later in the year. The outlook shifts quickly though, and any news that leads markets to anticipate an end to Fed rate hikes will help mortgage rates.
What's affecting rates this week:
- Economic data: Data later in the week includes GDP numbers and PCE inflation data. Signs of reduced inflation or economic slowdown could help rates.
- The Fed: As markets anticipate future Fed rate movements, mortgage rates will move up and down. Fed members speaking this week could swing sentiment, as well as any bank drama news.
