The latest jobs report revealed just 12,000 new jobs added, marking the lowest job growth data of the year. Surprisingly, this disappointing economic indicator did not result in lower mortgage rates as expected. Several factors could explain this unexpected outcome:
• Mortgage rates are influenced by a variety of economic indicators, not just job growth.
• The Federal Reserve’s monetary policy decisions play a significant role in determining mortgage rates.
• Global economic factors, such as inflation and geopolitical events, can also impact mortgage rates.
• Lenders may have already priced in expectations of lower job growth, resulting in little change in mortgage rates.
• Investor sentiment and market speculation can also influence mortgage rate fluctuations.
Despite the weak jobs report, mortgage rates remain stable, highlighting the complex and multifaceted nature of the mortgage industry and its relationship to broader economic trends.
You can read this full article at: https://www.housingwire.com/articles/why-did-mortgage-rates-rise-after-the-negative-jobs-report/(subscription required)
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