Long term rates have risen and are predicted to rise a little further through next year. When long term treasury rates rise, so do mortgage rates. Speculation about a boost in economic growth, higher inflation rates and international trade wars are fueling this rise.
What does this mean for you? Nothing if you have locked in a rate below 4% for your home loan. If you are looking for a home or did not lock in a rate for your refinance, expect your interest rate to be higher than quotes you had a week ago.
Is this speculation premature? Perhaps, economists caution their forecasts are tentative. The marketplace does not like uncertainty so expect a bumpy ride until a clearer picture of a Trump administration and its policies are evident.
As for forecasts by economists, if you want four opinions about the economy, ask three economists.