Rates hold the line as housing sends mixed signals
The week begins with financing conditions still restrictive and housing data pointing in two directions. Mortgage rates barely moved, yet long-term Treasury yields finished last week higher. At the same time, U.S. permits improved while actual housing starts fell sharply. In the Dominican Republic, inflation eased but remains just above the central bank's target range. The practical message: remain selective, protect financing flexibility, and watch this week's labor releases before making assumptions about the next move in rates.
01 · RATES & FINANCING
Mortgage rates remain steady near 6.7%
Freddie Mac reported that the average U.S. 30-year fixed mortgage rate was 6.66% for the week ending August 27, only one basis point above the prior week. The 15-year fixed rate averaged 5.98%.
U.S. building permits reached a seasonally adjusted annual rate of 1.443 million in July, 5.0% above June. Housing starts fell 12.4% to 1.239 million, and single-family starts declined 9.9%.
Dominican inflation begins to move back toward target
The Central Bank of the Dominican Republic reported monthly inflation of 0.19% in July. Annual inflation eased to 5.47% from 5.67% in June, while core inflation held at 4.96%.
The Bureau of Labor Statistics is scheduled to publish July JOLTS data on Tuesday, September 1, followed by the August Employment Situation report on Friday, September 4.