Mortgage Rates Lowest Since February 2023

Does Today's Inflation Data Change Anything? Bonds initially sold off following the higher-than-expected core CPI reading this morning.  Shelter inflation spiked back to troubling territory as well--something that was perhaps an even bigger problem for bonds.  Nonetheless, bonds moved back to stronger territory in short order.  The only lingering damage was to the Fed's rate cut outlook for next week.  Markets were already squarely in the 25bp camp, but today's data went a long way toward sealing the deal.  When it comes to the longer term rate outlook, today means nothing.  The Fed and financial markets would be hypocritica