U.S. MBA mortgage market index sank 4.0%
U.S. MBA mortgage market index sank 4.0% in data released earlier, along side a 3.3% drop in the purchase index and 3.6% slip in the refinancing index for the December 9 week. The average 30-year mortgage rate continued to inch higher, rising 1 basis point to 4.28%, the highest level since October 2014. With the Fed poised to pull the trigger on its annual quarter point December rate hike, the economy appears to have some fiscal momentum behind it now, along with low unemployment helping to stoke demand for housing. That said, after these hard-fought economic gains, the Fed should continue to emphasize the gradual policy path so as not to spook the markets and housing sector. For more on housing, see our existing home sales, housing starts and new home sales reports
