Inflation Watch

The Consumer Price Index for All Urban Consumers (CPI-U) rose 0.4% nationwide in September for an annualized rate of 3.7%. This was a drop month over month of 0.2%. Shelter and gasoline continued to be the driver for price increases. A month ago, very similar numbers had many reports that the Fed would tamp down this number with one more interest rate hike before year end. Now, many reports state that rate hikes are finished for 2023 because of September numbers.

The Conference Board continues to warn of a pending recession. This is led by, ‘weak new order numbers, low consumer sentiment, high interest rates and tight credit conditions.’ Goldman Sachs September 15 article looked at the two- and ten-year yield curves for U.S. Treasury yields and concluded that the U.S. economy remains ‘unbelievably resilient’ as it avoids the risk of a recession. Optimism is shared by most forecasts. 

Please give me a call at Premier Funding Network to answer any of your mortgage questions at 714-283-9900.