Average mortgage rates continue a post-holiday retreat across the board as of Tuesday, December 3, 2024, pulling the 30-year benchmark to an average 6.90%. Investors are keeping a close eye on this Friday’s fresh employment data — an important report for mortgage rates — which is expected to show recovery after October’s weak jobs data affected by two hurricanes and a strike. This report and next week’s consumer and wholesale inflation readers will influence whether the Federal Reserve lowers rates a third time when it meets on Dec. 17 and Dec. 18, with traders betting on a 72.5% chance of a quarter-point cut to a range of 4.25% to 4.50%, according to CME FedWatch. While the Fed doesn’t set mortgage rates, it responds to many of the same economic factors that can influence borrowing rates on large loans like mortgages.
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