The Federal Reserve left short-term interest rates unchanged during their monthly meeting last week. In a statement released shortly after in which they signaled that they are in no hurry to raise the benchmark rate in the coming months.
The Fed provided a variety of reasons for holding back on increasing short-term rates for the first time since December including low inflation and global economic uncertainty. However, there were indications that at least one more increase may happen before the year ends.
Some market speculators questioned if the Fed's decisions were political as any hiccup in the economic could influence the upcoming Presidential elections in November. "I have never seen political views in any way influence the policy judgments that are made inside the Federal Reserve," Yellen said in March when asked about it.
For now conforming no-point 30-year fixed mortgage rates average 3.625 percent while the 15-year rate is near 3 percent.
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