Will a New Fed Chair Really Bring Mortgage Rates Down Here’s the Reality with captions скачать в хорошем качестве

Will a New Fed Chair Really Bring Mortgage Rates Down Here’s the Reality with captions

With news that Donald Trump has nominated Kevin Warsh to become the next chair of the Federal Reserve, talk about mortgage rates has heated up quickly. Some expect rates to fall simply because of the nomination. Others assume a wave of Fed rate cuts is right around the corner. Most of that misses how mortgage rates actually work. The truth is, Warsh’s nomination didn’t change expectations in any meaningful way. Markets already assumed the next Fed chair would lean toward lower rates. That idea has been priced into bonds for months. The announcement didn’t introduce new information—it confirmed what investors already believed. Another common misconception is that Fed rate cuts automatically push mortgage rates lower. They don’t. The Fed controls short-term interest rates. Mortgage rates are driven by long-term bonds, especially Treasury yields and mortgage-backed securities. By the time the Fed cuts rates, the economic reasons behind those cuts—slower growth, softer inflation, weaker job trends—are usually already reflected in the bond market. That’s why mortgage rates often fall before Fed cuts happen, not after. We saw this clearly in late 2024. Mortgage rates hit major lows before the Fed began cutting. Once rate cuts started, mortgage rates actually moved higher for months. That pattern wasn’t unusual—it’s how markets process expectations. Even if you believe new Fed leadership will eventually support lower rates, there’s a hard reality to accept: if it feels obvious, it’s already priced in. Bond traders move fast. Markets don’t wait for confirmation. So what actually moved mortgage rates this week? Jobs data—not Fed politics. Several labor market reports pointed to weaker hiring, which reduced inflation pressure. Bonds rallied, and mortgage rates improved. Now, all eyes are on the next major jobs report, which will likely decide whether rates fall further or reverse higher. The bottom line is simple: Fed chairs don’t set mortgage rates—bond markets do. And right now, economic data matters far more than headlines. For direct financing consultations or mortgage options for you visit 👉 Nadlan Capital Group. Contact us today for a tailored consultation, where our expert advice turns potential into profitable reality. 🔍 If you’re looking to get the best possible mortgage in the U.S. for Foreign Nationals and Americans, and want to run an auction between more than 3,000+ lenders, click here👇 https://nadlancapitalgroup.com/creati... Continue reading on our site: https://www.forumnadlanusa.com/2026/0... #MortgageRates #FederalReserve #BondMarket #EconomicData #HousingFinance