Rates Remain Flat
Interest rates held steady this week as investors await further signals from the Federal Reserve on monetary policy direction.
Economy
Jobless Claims Climb: Weekly jobless claims increased by 11K to 235K, the highest since June, hinting at a cooling labor market.
Fed Minutes Highlight Tariff Concerns: Last month’s Fed meeting revealed ongoing debates about tariffs driving inflation, with board members more focused on rising prices than potential job losses.
Tariffs Hit Consumers: Major retailers like Home Depot and Walmart report passing higher import costs on to customers, contributing to upward price pressure.
Housing News
Builder Confidence Slumps: August saw builder confidence drop to a 5-year low, driven by rising material costs and uncertainty over tariffs.
Home Sales Beat Expectations: Existing home sales rose 2% in July, surpassing forecasts, though affordability remains strained with prices up over 40% since 2020.
Mortgage Applications Steady: Purchase mortgage applications were nearly flat last week but remain 23% higher than last year, hitting a 4-week high.
Stay tuned for next week’s update as we track the Fed’s next moves and their impact on markets and housing.
