WooWho, rates may drop.

[Tom D]

Federal Reserve Chair Jerome Powell made a hawkish pivot on Friday that few have picked up on, according to one close watcher of the central bank.

Tim Duy, the chief U.S. economist for SGH Macro Advisors, made the comments as Fed funds futures now are increasingly pointing to rate cuts from the U.S. central bank.

There’s now a 60% chance of a Fed rate cut in May, according to the CME’s Fedwatch tool, which last week was just a 14% probability. Expectations are that the Fed will cut rates down to 3% by the end of the year.

“We anticipated Powell would lean hawkish Friday, but he went a step further even as equities were crashing, and market participants may have missed a key insight, scary as it might be,” says Duy.

 

[Tom D]

The stock market is long term, the leftie chicken littles are now crying, we are poorer trump trump trump. Be careful, when it the tide changes, you will have lost another view point.

 

[Terrel L. Shields]

If job numbers continue up and inflation does not go down, I'd think they might simply hold until summer.

 

[gregb]

Price controls seem inevitable?

If you think it’s alarming now, just wait for Trump to wreck the bond market

The White House’s push for for expanded presidential power threatens US economic stability

www.telegraph.co.uk

 

[glenn walker]

Rates going down and maybe builders can do additional buy downs and get inventory sold during spring and summer. The heloc market already doing good but many dont require full appraisal just desktops so not helping appraisers much.

 

[cpursley]

Price controls seem inevitable?

If Trump admin does price controls I'm out lol. That's a full-commie red line for me.

 

[Fernando]

What the Fed rate decision means for your money

How the Fed's decision on interest rates affects savings products, various types of loans, and credit cards.

www.yahoo.com

Fed rate decision: How it affects your bank accounts, loans, credit cards, and investments​

The Federal Reserve hasn't done anything with interest rates since December. That's a long break. Fed Chairman Jerome Powell has been showing up for his press conferences in PJs and slippers.
However, now there's talk of a possible recession triggered by President Trump’s tariffs. That could put an end to the Fed's extended holiday. Trump is urging Powell to cut rates immediately, but market forecasts aren't expecting a rate move until later this year.

What the latest Federal Reserve rate pause will mean for mortgages and personal loans​

Home mortgages​

Mortgage rates are still a sore subject with prospective home buyers or refinancers. And with those of us who write about mortgage rates. Ask me just one more time if mortgage rates will ever be 3% again and see what I do.

Home loan rates are still lingering in the mid-6% range and a little higher.

Thing is, the Fed's manipulation of overnight interest rates charged to banks doesn't directly steer mortgage rates. Those are more influenced by the bond market, particularly the 10-year Treasury note. The bond market reacts to forecasts for economic growth — or the lack of it.

Bad economic news can move rates down, such as a resurgence of inflation or a recession. But who is hoping for that?

Housing industry analysts with the Mortgage Bankers Association, Redfin, Realtor.com, and Zillow expect mortgage rates to remain in the 6% to 7% range through the end of this year.

 

[cpursley]

Price controls seem inevitable?

If you think it’s alarming now, just wait for Trump to wreck the bond market

The White House’s push for for expanded presidential power threatens US economic stability

www.telegraph.co.uk

I'm open to Tariff and tax experimentation, but if Trump admin does price controls - this life long libertarian is out lol.

 

[J Grant]

Federal Reserve Chair Jerome Powell made a hawkish pivot on Friday that few have picked up on, according to one close watcher of the central bank.

Tim Duy, the chief U.S. economist for SGH Macro Advisors, made the comments as Fed funds futures now are increasingly pointing to rate cuts from the U.S. central bank.

There’s now a 60% chance of a Fed rate cut in May, according to the CME’s Fedwatch tool, which last week was just a 14% probability. Expectations are that the Fed will cut rates down to 3% by the end of the year.

“We anticipated Powell would lean hawkish Friday, but he went a step further even as equities were crashing, and market participants may have missed a key insight, scary as it might be,” says Duy.

This was posted before the Fed meeting this Weds - they left rates the same.

 

[Charles West]

Look for rate cuts in the second half of the year. The UK cut this morning prior to the announcement of the agreed-upon trade deal. We get CPI and PPI numbers next week, and maybe we'll get one next month.