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Rate Pulse Sep 11

CPI hot on gasoline, core tame — 30-year holds 6.85%

August CPI rose 0.4% but core ran 0.3% on the month and 2.4% on the year; Bankrate's 30-year is unchanged at 6.85% with a dot plot Wednesday.

Friday, September 11, 202610Y Treasury 4.83%
30Y fixed
6.90%
+5bps today
15Y fixed
6.24%
7d +5bps
5/1 ARM
6.67%
30d +9bps
Now

The print is split. August CPI, out at 8:30 this morning, rose 0.4% on the month and 3.4% over the year at the all-items line — but gasoline rose 3.9% and BLS credits it with more than a third of the entire monthly increase. Core, with food and energy stripped out, rose 0.3% on the month and 2.4% over the year, and shelter was 0.3% for the month against 3.0% annually. Bankrate's conventional 30-year printed 6.85% this morning, unchanged from yesterday. That flat read sits on top of a rough session: Mortgage News Daily had mortgage-backed securities down close to a full point into the 4:00pm close yesterday and the 10-year at 4.95%, up 11.4 basis points and the highest since October 2023, driven by the PPI reaction plus an overnight crude surge that put Brent above $100 with WTI near triple digits. MND's own daily 30-year reads 7.07% — the 22-basis-point gap to Bankrate is a survey difference rather than a move, and it is why some of your borrowers saw a 7-handle in the news this week.

Next

The FOMC meets Tuesday and Wednesday, September 15 and 16, and this one carries a Summary of Economic Projections — statement 2:00pm Eastern Wednesday, press conference 2:30, dots with both. That is the week's whole trade, and this morning's split print is what the committee now has in front of it: a headline pushed up by an energy shock against a core series close to target. Between now and then the calendar is light — consumer sentiment opens September 13, housing starts and permits land September 16 through 18, weekly claims and the next PMMS both September 17. Nothing on that list outweighs Wednesday. The level to watch is 4.95% on the 10-year; it took two sessions to get there, and where the dots land is the nearest scheduled reason it moves in either direction.

Range

Bankrate's 6.85% sits six basis points below its 90-day high of 6.91% and 38 above the 90-day low of 6.47%, against a 90-day average of 6.68%. Inside 30 days the band is 6.67% to 6.91% with a 6.76% average, so today is nine basis points rich to the month's own mean and effectively at the top of the range. There is no refi window in this: the 30-year is two basis points higher than a week ago and 13 higher than a month ago. On a $400,000 loan that is about $2,621 a month, roughly $35 above the same loan 30 days back and $75 above where it stood three months ago. Freddie Mac's weekly PMMS, published yesterday, reads 6.76% and is up five basis points on the week — same direction, lower level, different survey.

Do

Two segments today. First, anything that can close inside ten days: you are pricing into a dot-plot meeting with the long end at a three-year high, and a borrower who wants to float through Wednesday should hear that as a decision rather than a default. Second, the ARM conversation, which has quietly improved while the fixed got worse — MND has the 5/1 at 6.62% against its own 7.07% thirty-year, a 45-basis-point discount worth roughly $120 a month on a $400,000 loan. That is a real answer for the borrower with a five-to-seven-year horizon who has been told to wait for the fixed to come down. Do this today: pull every purchase file with a lock expiring after September 16 and call the borrower before the weekend, so the float decision gets made on your timeline instead of Wednesday afternoon's.

Paste-ready talking points

  • This morning's inflation report looked hot on the surface, but it was mostly gasoline — the underlying reading came in close to where the Fed wants it.
  • On a $400,000 loan, today's payment runs about $2,621 a month — roughly $35 more than the same loan a month ago.
  • The Fed meets Tuesday and Wednesday. If you are weighing whether to lock your rate, that is the week to decide in.
  • A 5-year adjustable is running about $120 a month less than the 30-year fixed on a $400,000 loan — worth a look if you are not keeping this loan a decade.
  • Reply RATE and I'll send a one-page payment breakdown on your actual number. No credit pull.

Sample client message

Purchase borrowers floating a rate into next week
SubjectQuick note before next week, {client}

Hey {client} — one quick heads-up before the weekend. The Federal Reserve meets Tuesday and Wednesday next week, and it is one of the meetings where they also publish their own outlook for where rates go from here. Whichever way that lands, Wednesday afternoon is likely to move pricing, so I would rather you make the lock-or-float call on purpose than have it made for you. Where things stand right now: on a $400,000 loan, the payment runs about $2,621 a month. That is roughly $35 more than the same loan a month ago, so the drift this summer has been up rather than down. And if you are not planning to keep the loan ten years, there is a 5-year adjustable option running about $120 a month less that is worth ten minutes of your time. Text me back with your timeline and I will run your actual number today.

Mortgage Rates Hold 6.85% After Hot-Headline, Tame-Core CPI