For the week of April 15, 2024

Last Week's Mortgage Rate Recap: Rates moved higher 👎
Rates moved quite a bit higher last week when inflation readings came in stronger than expected, showing that inflation increased rather than dropped. Markets reacted to the data by dropping the number of Fed rate cuts forecasted for later this year.

This Week's Mortgage Rate Forecast: Rates may get worse👎
Rates are likely to creep higher this week as markets adjust to expectations that the Fed may cut rates only twice or even once this year. Strong economic and labor data along with increasing inflation have shelved the idea that any rate cuts will happen before September at the earliest.

What's affecting rates this week:
- Fed speakers: Lots of Fed officials will be out speaking this week, likely sharing the message that the Fed does not need to cut rates yet.
- The Fed: Markets are now expecting only two or even one Fed rate cut this year as Fed officials continue to say that the strong economy and labor market along with stubborn inflation make it too early to even consider cutting rates. Mortgage rates won't move lower unless/until expectations grow again that the Fed will have to cut rates.
- Economic data: Not a lot of data this week, and what we've seen already was bad for mortgage rates.