CNN Money is reporting that there is a 95% chance the Feds will raise interest rates again today. There are a few things to note, though.
- Mortgage rates are not expected to go up right away. According to CNN, “The Fed only has a direct impact on short-term interest rates for things like credit card debt and auto loans.” The 30-year mortgage rate is still around the low rate of 3.9%.
- The Feds think our economy is still on the up-and-up (otherwise they probably wouldn’t be raising rates).
- We can probably expect more rate increases this year (as long as wages keep growing and unemployment stays low).
- There are five of 12 positions on the central bank’s committee that our current president will have the chance to fill over the next year. These people determine when to raise rates, so policies might change over the coming months.
For more information, check out this article.