At its Wednesday meeting, the U.S. Federal Reserve tightened monetary policy by a massive amount, while other global banks fight inflation.
Taking a look back at the May 2022 mortgage market, investor expectations surrounding inflation stabilized to some degree.
While much of this week’s economic data met investor expectations, consumer spending surged in April 2022.
As investors focused heavily on the high inflation, mortgage rates rose to their highest levels since late 2018.
This week, investors awaited the latest Fed guidance. Fed officials plan to reduce their bond portfolio more quickly than expected.
Rising inflation levels continued to induce massive daily market volatility for February 2022 mortgage rates.
As investors eagerly awaited the European Central Bank meeting, the latest decision on inflation came as a blindside.
Last week, mortgage markets experienced daily volatility as the Russia-Ukraine conflict led to soaring demand for mortgage-backed securities.
Last month, January 2022 mortgage rates achieved their highest levels since early 2020 as investors again saw record-setting inflation.