• In testimony to Congress this week, Fed Chair Powell acknowledged that steep Fed interest rate hikes could tip the US economy into recession.
  • As fears of a coming recession from Fed rate hikes replace fears of inflation in investors' minds, mortgage rates are able to improve.
  • Unemployment claims last week fell to 227K as the labor market continues to show strength despite Fed rate hikes and recession concerns.

  • Mortgage rates have experienced tremendous volatility since inflation data was released June 10, but mortgage purchase applications rose 8%.
  • Existing home sales fell 3.4% in May, the 4th month of declines and the weakest reading since June 2020.
  • The median existing-home sales price topped $400K for the first time, reaching $407,600 in May, 14.8% higher than the same time last year.