09 Apr 2015
By Mark Feder

FOMC Minutes: Housing Market Stable But Slow

Market Outlook
The minutes of the March meeting of the Fed’s Federal Open Market Committee (FOMC) were released Tuesday and included a staff review of current economic conditions. The minutes noted that while labor markets continued to grow, inflation to the Fed’s target rate of 2.00 percent was impeded by dropping fuel prices. The Committee noted that expectations for longer-term inflation remained stable. Non-farm payrolls, which include both private and public sector jobs, grew in January and February and the national unemployment rate reached a new low of 5.50 percent in February. Readings for workers employed part time due to economic reasons…
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23 Mar 2015
By Mark Feder

What’s Ahead For Mortgage Rates This Week – March 23, 2015

Market Outlook
Last week's events included the National Association of Home Builder's Housing Market Index, which fell to its lowest reading since last summer. Other news included reports on housing starts and building permits, the FOMC meeting statement and Fed Chair Janet Yellen's press conference. Home Builder Confidence Falls, Building Permits Rise The NAHB Wells Fargo Housing Market Index fell by two points for a reading of 53 in March. The expected reading was 57. Analysts said that this proves that lower mortgage rates and steady job growth aren't fueling housing markets as expected. NAHB chief economist David Crowe also cited supply…
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19 Mar 2015
By Mark Feder

FOMC Statement: Federal Reserve Discusses Rate Increase, But Concerned About Growth

Market Outlook
The post-meeting statement of the Federal Reserve's Federal Open Market Committee indicated that while the Fed is considering raising its target rate as early as June, the agency is in no hurry to cast anything in cement. The statement cited stronger labor markets and low unemployment rates as encouraging, but noted that FOMC members remain concerned about economic growth due to low inflation failing to meet the FOMC goal of two percent. 15 of 17 Federal Open Market Committee members said that they expected interest rates to increase before year-end, but downwardly revised forecasts of how high rates might be…
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19 Feb 2015
By Mark Feder

Fed Not in a Hurry to Raise Rates: FOMC Meeting Minutes

Market Outlook
Minutes of the Federal Open Market Committee (FOMC) meeting held January 27 and 28 were released on Wednesday. According to the minute's transcript, it appears that Fed policymakers are in no hurry to raise the target federal funds rate. Members said that raising rates too soon could swamp the strengthening economy and expressed concerns that changing the committee's current "patient" stance on rising rates could cause more harm than good to current economic conditions. FOMC members discussed the Fed's use of the word "patient" in its guidance, and said that dropping the word could incorrectly suggest that the Fed is…
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