Unemployment hits 3.4%, The Federal Reserve increased the Federal Funds rate .25% on Monday
What’s odd about this week was that when the Federal Reserve bumped the prime rate .25% this week, our mortgage rates got better. The two are independent of each other but usually an increase is bad for our rates. It was almost like the market was expecting a .50% increase in the federal funds rate and it became bullish on rates when only .25% was approved.