Mortgage rates are finally taking a dive!

But will they hold?

Author

John Birke
August 05, 2024

The only newsletter (probably) where you can get the latest market trends, mortgage news, and social + AI updates all in one place

August 5th, 2024

dive GIF

Rates have finally taken that high dive we’ve been waiting for

Mortgages rates just took their biggest breath of fresh air in way too long, for good and bad reasons. Let me explain:

  1. Rates are at their lowest levels in a year

  2. partially because inflation is easing up

  3. but also because new jobs are too.

  4. And that’s making us feel like the Fed is about to act

  5. even though they’re not committing to anything just yet.

  6. But that didn’t stop rates from taking a nose dive.

Plus, we REALLY need to wake up on LinkedIn!

Really quick, if someone forwarded this email to you, don’t settle for being at mooch. Sign up and get it for yourself here 👇

Ok, let’s get to it!

 The Mortgage Part 

😍 Rates are plummeting: Mortgage rates have been dropping faster than we've seen in too long as inflation and jobs make a case for Sept Fed Rate drops

Mortgage rates plunge to the lowest level in more than a year after weak employment report

The recent high on the 30-year fixed mortgage was 7.52% in late April, and home sales have been falling ever since.

www.cnbc.com/2024/08/02/mortgage-rates-lowest-level-in-a-year.html?__source=realestate%7cnews%7c&par=realestate

📉 ‘Cause inflation is down: The recent PCE report shows core inflation dropping ever closer to the Fed’s 2% target

Fed’s key inflation gauge rose 2.5% in June from a year ago, easing path to rate cut

The PCE price index was expected to increase 0.1% in June and 2.5% from a year ago.

www.cnbc.com/2024/07/26/pce-inflation-june-2024-.html

👷‍♀️ But jobs are down too: We added far fewer jobs than expected, which good for rates but bad overall

Job growth totals 114,000 in July, much less than expected, as unemployment rate rises to 4.3%

Nonfarm payrolls were expected to increase by 185,000 in July, according to the Dow Jones consensus estimate.

www.cnbc.com/2024/08/02/job-growth-totals-114000-in-july-much-less-than-expected-as-unemployment-rate-rises-to-4point3percent.html

😎 So the market is betting big: Markets are expecting a major 1/2% rate cut in September from the Fed, but could that be premature?

Fed seen cutting rates by half a point in Sept, after weak jobs data

Traders bet on Friday that the Federal Reserve will start easing policy in September with a big half-percentage-point interest rate cut, after government data showed employers added far fewer workers than expected last month, and the jobless rate rose.

www.reuters.com/markets/us/fed-seen-cutting-rates-by-half-point-sept-after-weak-jobs-data-2024-08-02

😝 Even if they won’t commit: The Fed has been very carful not to guarantee any rate changes until they are sure inflation has been defeated

Fed holds rates steady and notes progress on inflation

Federal Reserve officials held short-term interest rates steady, but indicated that inflation is getting closer to its 2% target.

www.cnbc.com/2024/07/31/fed-rate-decision-july-2024.html

% Mortgage Rates: But even with the non-commitment, rates dropped to their lowest point since last summer

MBS Dashboard - MBS Prices, Treasuries and Analysis

View MBS prices and charts and follow the day's market activity with Micro News and Commentary.

www.mortgagenewsdaily.com/mbs

🔍 Coming this week: A quiet week with consumer credit and some light meetings

U.S. Economic Calendar - MarketWatch

U.S. economic calendar consensus forecasts from MarketWatch.

www.marketwatch.com/economy-politics/calendar

 The Media Part 

Have You Been Sleeping on Your LinkedIn Presence?

If you haven't been active on LinkedIn lately, you're missing out. Microsoft's latest performance numbers reveal that LinkedIn's revenue jumped 10% in Q4 2024, alongside a 13% surge in sessions. With over a billion members worldwide, LinkedIn boasts an estimated 400 million active users, demonstrating a vibrant platform full of opportunities.

One of the standout trends is the explosion of video content. With 1.5 million pieces of content shared every minute, video uploads have skyrocketed by 34% year-over-year. LinkedIn is leaning heavily into this trend, even launching features like a full-screen video feed to enhance user experience. For businesses and professionals, this means it's crucial to incorporate video into their LinkedIn strategies. Video not only boosts engagement but also helps to build a more dynamic and relatable personal brand.

Moreover, LinkedIn Premium sign-ups have increased by 51%, thanks in part to the new Premium Company Pages and AI features that offer businesses more ways to showcase their presence on the platform. This rise underscores the growing value of LinkedIn as a tool for professional growth and networking.

So, if you've been neglecting your LinkedIn presence, now is the perfect time to revitalize it—especially with engaging video content that can set you apart from the competition​

LinkedIn Reports Higher Revenue and ‘Record Levels’ of Engagement

With LinkedIn’s video uploads escalating 34% during fiscal Q4, the platform is leaning in with features like its full-screen video feed.

www.socialmediatoday.com/news/linkedin-reports-higher-revenue-and-record-levels-of-engagement/723000

Well that’s it for the best (and likely only) Mortgage AND Media Newsletter out there. This week live it up with these pretty mortgage rates and keep your fingers crossed that we don’t get any news that could send them soaring back up!

And as always, I’m happy to help you and your clients with anything mortgage, marketing, or social media. See you next week and

Thanks for reading!

John Birke | Mortgage Advisor | Content Coach

NMNLS 1150795

Movement Mortgage
9726 Old Bailes Road, Suites 121 & 130, Fort Mill, South Carolina 29707

NC-I-211026, SC-MLO-1150795, AR-128178, MO-1150795, OK-MLO29209 | Movement Mortgage LLC. All rights reserved. NMLS ID #39179 (www.nmlsconsumeraccess.org). Interest rates and products are subject to change without notice and may or may not be available at the time of loan commitment or lock-in. Borrowers must qualify at closing for all benefits. For more licensing information please visit movement.com/legal.


Please be aware that e-mail is not a secured communication vehicle, and that others may in certain circumstances be able to view its contents. As a result, while we are happy to provide this information by e-mail, we do not conduct actual business transactions by e-mail. Please contact the sender directly if you have any concerns about this message. All loans subject to credit approval and property appraisal. This communication is confidential and propriety business communication. It is intended solely for the use of the designated recipients(s). If this communication is received in error, please contact the sender and delete this communication.