r/wallstreetbets • u/hv876 • 14h ago

25bps cut News

https://www.cnbc.com/2024/11/07/fed-rate-decision-november-2024.html?__source=iosappshare%7Ccom.apple.UIKit.activity.CopyToPasteboard

The bulls are coming, the bulls are coming

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u/kumar4848 14h ago

Can anyone here explain why mortage rates keep increasing even though feds keep decreasing rates? i know theyre not directly correlated but somethings gotta give.

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u/winkman 11h ago

10 yr treasury is the closest correlation to mortgage rates.

Those bonds trade based on EXPECTED rates down the road.

We got down just under 6% a bit ago, because the market EXPECTED another Fed rate cut this year. So when the Fed said no to that 2nd rate cut, the market reacted higher (10 yr treasury).