Taking a look back at the May 2022 mortgage market, investor expectations surrounding inflation stabilized to some degree.
In a relatively quiet week for mortgage markets, investors saw steady job gains in the leisure and hospitality sectors.
Although the latest core PCE met expectations, investors grow increasingly concerned with slowing global economic growth.
Last month, investors focused on elevated inflation levels on as April 2022 mortgage rates climbed to their highest levels since 2009.
As expected the Fed announced a rate hike this week in their latest step to combat inflation while Employment neared its consensus.
In a light week of economic reporting, the major news encompassed the latest GDP reading, which fell to the lowest level since spring 2020.
Last month, March 2022 mortgage rates soared at an unexpectedly fast pace as the market stays volatile this year.
This week, investors awaited the latest Fed guidance. Fed officials plan to reduce their bond portfolio more quickly than expected.
While mortgage markets stay volatile, the unemployment rate fell to the lowest level since early 2020 as inflation came in on target.
In another volatile week for mortgage markets, the conflict in Ukraine continued to intensify while the U.S. heard testimony from the Fed.