Here is what having the weight of the financial world off of your shoulders looks like.
Jerome Powell is expected to be appointed as the next Fed Chair by President Trump today. His term would start next year. He’s a little softer than Yellen has been, which may seem hard to believe. As expected, the Fed did not raise interest rates yesterday, but the probability of a 0.25% bump in December is near certain.
Speaking of government policy, some of the details of the proposed tax reform are coming out. The mortgage interest deduction will be capped at $500,000 for newly purchased homes. I hate that. The Child Tax Credit will bump up from $1,000 to $1,600, and the corporate tax rate will drop from 35% to 20%.
Weekly Jobless Claims dropped 5K, and Q3 Productivity rose 3.0%, vs. the 2.8% expected. Pricing on mortgages is clawing its way back, easing the pressure off of the rising rate trend.