U.S. mortgage rates fell in step with bond yields in the wake of weaker-than-expected domestic economic data and as investors scaled back expectations about the number of interest rate increases by the Federal Reserve in 2017.
The dollar recovered from a two-week low against a broad index on Thursday, having slid after U.S. President Donald Trump said the currency was getting too strong and that he would prefer the Federal Reserve to keep interest rates low.
U.S. Treasury yields tumbled on Thursday and were on track for the biggest weekly decline since late 2015 after U.S. President Donald Trump said he would like to see interest rates stay low, while inflows into bonds drained life from stocks.
The EC yesterday formally blocked the proposed merger between London Stock Exchange Group and Deutsche Boerse AG-Tender. This was expected. The EC is expected to publish a more detailed decision at a later date. London Stock Exchange Group also announced a £200 million buyback program.
The run-up in U.S. real estate prices could potentially amplify any future economic downturn, a Federal Reserve official said on Tuesday, urging regulators globally to consider tools beyond interest rates that could help cool the sector.