Boyd Nash-Stacey is a Senior Economist with Prevedere. Previously, Boyd spent 10+ years as an economist with BBVA Research, focusing on U.S. national and regional macroeconomics, monetary policy, financial markets, inequality, and demographics. Boyd’s research has been featured in Bloomberg, Wall Street Journal, Consensus Economics, Business Weekly, Business Insider, American Banker, and Texas Monthly. He holds a B.A. from the University of Texas at Austin and an M.A. in econometrics and forecasting from the University of Houston.
TLDR—the Fed hiked rates again, and it could mean a higher mortgage rate.
The continued drawdown in the Federal Reserve’s balance sheet, otherwise known as quantitative tightening, will increase the restrictiveness of financial conditions, limiting banks’ ability to lend and increasing the interest expense for new mortgages.