The Fed Does Not Control Your Mortgage
The average 30-year mortgage has jumped to 7.49%, the highest since November 2023. This is happening while everyone continues to obsess over what the Federal Reserve will do at its next meeting as if the Fed chairman personally sets the mortgage rate at your local bank. He does not. Mortgage rates a
Source: Armstrong Economics
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DW NOTE
The 10-year Treasury yield has climbed to 5.27% — up more than 10% in a month — while the Fed's policy rate sits at 3.75–4.00%. That 127-basis-point gap is the bond market pricing in fiscal risk the Fed cannot suppress. Mortgage rates track the 10-year, not the fed funds rate, which is why your banker doesn't wait for Jerome Powell's permission to reprice your loan.