Stocks continue their winning ways
Last Week in Review:
Stocks continue their winning ways.
Home loan rates finished this week near unchanged and remain near 9-month lows — so we have that going for us.
Most of the week’s news was pretty bond friendly, including Brexit uncertainty, ongoing Government shutdown, ongoing US/China trade dispute, low inflation and more.
So why haven’t rates improved further with these bond-friendly tailwinds?
The first Friday of 2019 was the day things changed for the Bond Market when a blockbuster Jobs Report and overly dovish Fed Chair Powell speech were delivered, which has helped Stocks move steadily higher at the expense of Bonds.
Here’s an important word to consider as we head into the Spring home buying season and that’s disinflation, which means a slowing growth rate of inflation. We are seeing signs of this today and if the trend continues, home loan rates will benefit as 2019 progresses.
Tagged Market Trends