Bond yields drop on expectations of Fed rate cut, leading to lowest mortgage rates in over a year and surge in mortgage applications for both new and refinancing loans.
Inflation unexpectedly surges, shattering hopes for Fed rate cuts & sending stocks down. Core inflation also exceeded expectations. No sector escapes losses, with real estate hit hardest.
Investors are largely expecting the Federal Reserve to hike interest rates by 25 basis points later this month, but the jury is still out as far as its September decision is concerned.
