Updated on August 11, 2017 10:12:30 AM EDT
Yesterday’s 30-year Treasury Bond auction went pretty smoothly with some of the benchmarks pointing towards a strong demand for the securities. This helped boost bonds a bit during afternoon trading, but I don’t believe we saw many lenders improve pricing as a result. They likely waited to see this morning’s data before reacting.
Julys Consumer Price Index (CPI) was today’s only relevant economic data. The 8:30 AM ET release showed a 0.1% increase in both the overall and core readings. Analysts were expecting to see a 0.2% rise in both, making the data favorable as it indicates inflationary pressures at the consumer level of the economy were softer than many had thought.
Next week brings us the release of several economic reports that may influence mortgage rates, including one very important measurement of consumer spending. In addition to those reports, we also will get the minutes from the most recent FOMC meeting. Monday has none of these events scheduled, so we can expect weekend news, particularly geopolitical military talk, to drive the markets and mortgage rates as the new week begins. Look for details on next week’s activities in Sunday evening’s weekly preview.
©Mortgage Commentary 2017