Daily Market Update 4/17/08

Mortgage rates remained unchanged this morning after rising sharply the past two days. Traders are now betting the Federal Reserve will stop cutting interest rates after a 1/4% reduction in the Federal Funds Rate on April 30th. Growing concerns over inflation are seen as limiting the Fed’s ability to stimulate the economy through lower interest rates. Paradoxically, a firmer stance against inflation may help strengthen the US Dollar against foreign currencies, helping push down oil prices and long term interest rates.

Leave a Reply

Your email address will not be published.

Back to top