Juicy Estates: Mortgage Blog

South Florida Interest Rate Update….Drifting Along

Last week was one for the record books with the Fed moving to a target of 0-.25% for the Fed funds rate which helped mortgage interest rates ended the week .125% to .25% lower.

Many traders are already away for the holiday’s and trading in the bond market is relatively light.  Even though we get GDP and PCE figures this week as well as Jobless Claims it does not appearl that any of this data will be enough have a dramatic effect on interest rates in either direction.

Beware!  Upon returning from their holiday bliss, many traders will be looking for higher returns on their investment dollars and we could see a significant amount of money flow out of low yielding Treasury’s and Bonds in search of higher yeilding opportunities.  If this projection holds true we could see 30 year fixed rates move above 5% again.

This entry was posted on Monday, December 22nd, 2008 at 10:52 pm and is filed under Interest Rate Updates. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

Leave a Reply

Name

Email (will not be published)

Website