Navigating Market Reactions: Insights from the December Fed Meeting

Loan Officer Freedom

Carl White

Mortgagemarketinganimals, Business, Loanofficer, Getmoreloans, Freedom, Mortgage, Loanofficercoaching, Carlwhite, Education, How To

5 • 743 Ratings

🗓️ 20 December 2024

⏱️ 10 minutes

🔗️ Recording | iTunes | RSS

🧾️ Download transcript

Summary

Welcome to Loan Officer Freedom, the #1 podcast in the country for loan officers, hosted by Carl White.

In this episode, your hosts, Carl White and Owen Lee dive into the recent Federal Reserve meeting that took place on December 18th, where a surprising shift in the dot plot map caught the market off guard.

They discuss the implications of the Fed's decision to lower interest rates by 25 basis points and how it affected mortgage rates, which unexpectedly worsened by 65 basis points.

Owen explains the concept of the dot plot map and its significance in forecasting interest rates, shedding light on why the market reacted the way it did.

They also explore the challenges loan officers face when advising clients about floating rates versus locking in, especially in light of recent market movements.

Don't miss this insightful discussion filled with expert analysis and practical advice for navigating the ever-changing landscape of interest rates and mortgages.

Schedule a one-on-one free coaching call, click here or visit LoanOfficerStrategyCall.com.

Transcript

Click on a timestamp to play from that location

0:00.0	So yesterday was a bit interesting.
0:10.0	Correct.
0:13.0	Yeah.
0:15.0	So I'm talking again with Owen Lee.
0:20.0	Yeah, this was, it was an interesting day. So the, and this is very timely,
0:24.5	so we'll get this episode. Usually we record an episode. It takes about a week, you know,
0:28.4	to get up and going. We're going to try to get this up like either today or tomorrow.
0:32.0	But, but as we're recording this, is Thursday, December the 19th, and it's 930 a.m. Eastern time.
0:42.1	And yesterday, the Fed met, and what happened?
0:47.7	So yesterday was a very interesting Fed meeting in that the market got a surprise.
0:55.0	And, you know, the market really doesn't get surprised by the Fed too much
1:00.4	because they really do a pretty good job of broadcasting what they're thinking and what they're doing.
1:06.9	And what happened yesterday at the meeting is, of course, we got our 25 basis point
1:12.6	reduction, which is what the market expected. We got our notice in the only very slightly
1:20.6	changed Fed statement that future interest rate cuts were going to be data dependent. That was totally expected, probably a
1:29.9	January pause in the cutting of rates also expected. And then we got the dot plot map. And that was
1:38.9	not something that the market had expected. And so that's why we saw that reaction, which started about 20, 25 minutes.
1:48.2	So, yeah, so the dot plot, let's go ahead.
1:51.3	Yeah, that's my question.
1:52.0	What's the dot?
1:52.6	Because, yeah, for kind of nerdy folks who, like me, who find the economy and some of those
1:59.4	things very interesting, that's something
	...

Transcript will be available on the free plan in -98 days. Upgrade to see the full transcript now.

Previous episode | Next episode

Disclaimer: The podcast and artwork embedded on this page are from Carl White, and are the property of its owner and not affiliated with or endorsed by Tapesearch.

Generated transcripts are the property of Carl White and are distributed freely under the Fair Use doctrine. Transcripts generated by Tapesearch are not guaranteed to be accurate.