Weekly Market Update

Following last week’s employment report, the market now fully expects the Federal Reserve to lower interest rates at its next meeting—welcome news for borrowers and homebuyers. While job growth came in softer than forecast, the labor market continues to show stability. August saw 22,000 new positions added, and July’s figures were revised higher. Even with a minor downward adjustment to June’s numbers, the overall trend points to a gradually cooling labor market, rather than a sharp slowdown.

Job openings remain healthy compared to historical norms, and while jobless claims have edged up slightly, they remain far below recessionary levels. Encouragingly, both ISM indexes advanced, reflecting ongoing strength in business activity. Mortgage rates responded by ticking lower, creating new opportunities for buyers and those looking to refinance.

This week brings fresh updates on inflation with CPI and PPI data due, along with the annual BLS benchmark revision to employment figures. Should we see a similar adjustment to last year—when over 800,000 jobs were trimmed from prior estimates—mortgage rates could move even lower, presenting a timely opportunity for those considering home financing. While inflation may see a slight uptick, current trends suggest the Fed has growing room to ease policy without reigniting price pressures.

If you, or anyone you know is interested in obtaining mortgage financing, reach out to my team today at 541-815-6596. We’d love to help you take advantage of this favorable rate environment.