For the week of November 29th, 2021
Recap of last week: Rates were erratic but basically ended unchanged
Average mortgage rates last week were generally worse heading into Thanksgiving, but on Friday started to see improvement after markets were shaken up by the announcement of a new covid variant and the reactions amongst different countries.
Mortgage Rate Forecast: Rates could be volatile
It's tough to forecast how this week will play out for mortgage rates, as it will depend on how markets continue to react to this new covid issue. If concerns increase that this new variant could cause the global economic recovery to slow down, we could see that help mortgage rates hold steady or even improve a bit more. If instead this new variant is proven to be more benign and countries remove the travel restrictions recently set in place, it could pressure rates a bit.
What's affecting rates this week:
- Economic data: Most economic data this week won't affect rates, however Friday we will see jobs data that could have an effect.
- Omicron: Rates will be affected this week as we find out more about the newest covid variant and its affect on the global economy.
- The Fed: Speculation of how the Fed will react to the recent events could play a small role in rates this week.
