Articles Tagged with ''Federal Reserve''

Dueling polls on Fed's next move suggest the safe bet is a July rate cut

Only 2 out of 46 economists in WSJ poll say the FOMC will act at next week's meeting
Traders in futures markets are signaling a 22.5% probability of a Fed rate cut next week and an 86% chance of a cut at or before its July 30-31 meeting, according to CME Group. Economists polled by The Wall Street Journal gave a different picture: About 0.5% said they expect a move next week and 40% pegged it to the July gathering. That makes July the safe bet, with perhaps language added to the FOMC’s June statement aimed at reassuring markets.
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Almost 1 in 5 American households expect to move in next year, Fed report says

Highest May reading in 2 years comes as more Americans are uncertain about their financial futures
About 19% of American households surveyed in May expected to move in the next 12 months, according to the Survey of Consumer Expectations report from the Federal Reserve Bank of New York. Households also reported lower expectations of future income growth.
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Tumbling mortgage rates have made 6.8 million people "refi eligible"

This week's 21-month low added almost 1 million borrowers to the pool
When the average U.S. rate for a 30-year fixed mortgage dropped to a 21-month low this week, it pulled almost 1 million more mortgage holders into the pool of homeowners who are "refi eligible." There are now 6.8 million mortgage holders who would benefit from a refinancing, according to Black Knight.
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WSJ: Chance of a rate cut at next FOMC meeting is 25% as trade worries mount

"Darker economic outlook" may force policymakers to take accommodative stance
The chance the Federal Reserve will cut its benchmark rate in two weeks at its next meeting in Washington, D.C., is mounting as trade tensions threaten the economy. Traders in futures markets are putting about a 25% chance of a rate cut at the June 18-19 meeting and a 75% chance of a cut at the meeting after that, on July 30-31, according to data from CME Group.
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U.S. home values reach a record high of $26.1 trillion in Q1, Fed says

Home equity rises to the highest level since 2002
The value of all U.S. owner-occupied homes increased to a record $26.1 trillion in the first quarter, according to the Federal Reserve report released Thursday known as the Flow of Funds. Americans owned 60.4% of their homes in the first quarter, measuring the share of their home that was unmortgaged, the highest level of equity since 2002.
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Fed's Bullard says cutting benchmark rate "may be warranted soon"

Says global trade disputes may be difficult to resolve
Federal Reserve Bank of St. Louis President James Bullard said Monday that a lowering of the central bank’s short-term target rate "may be warranted soon." The Fed "faces an economy that is expected to grow more slowly going forward, with some risk that the slowdown could be sharper than expected due to ongoing global trade regime uncertainty," Bullard said.
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Grocery store is most-desirable neighborhood amenity, Federal Reserve report shows

Also, the reasons adult children live with their parents
The most important neighborhood amenity is a grocery store. About 87% of people said it is “moderately or very important” to have nearby. Next on the list was a combined category of “shops or restaurants,” which 75% of people cited as being important. The next slot went to banks, with 65% of people citing them as important, then places of worship, at 48%.
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Welp: Mortgage originations fall to four-year low in first quarter

So, about that whole refi boom…
Mortgage interest rates fell throughout the first quarter, eventually experiencing the largest single-week decline in 10 years. That decline led some to suggest that a boom in refinances could be on the horizon. And while that may yet happen, it hasn’t happened yet. In fact, the mortgage business just experienced its worst quarter in more than four years.
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Trump calls for Fed to reduce interest rates amid trade war with China

Says lower interest rates would bolster economy
President Donald Trump took to Twitter on Tuesday morning to air his thoughts on the trade war with China, where he hinted at monetary actions from the Federal Reserve. Trump explained that China would most likely manipulate its interest rates to keep its economy going during the trade war, but said that if the U.S. did the same, it would be "game over."
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