30 days away: Will inflation halt a potential September Federal Reserve rate cut?

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The market may start to get a clearer picture of what’s going to happen in September coming up this week. On Wednesday, the notes from the last Fed meeting will be released. In addition, Fed chair Jerome Powell will speak Friday at the Jackson Hole Symposium, which could give clues as to the action the chair expects the central bank to take.

While the Fed has held steady, a weaker-than-expected jobs report has helped cause mortgage rates to slide to the lowest point in 2025. Boesel said a continued decline could bring more buyers and sellers into the market.

“If rates drop a little bit more, you may have some of those borrowers who’ve been waiting just to get that affordability with the rates,” she said. “I think that’s what you’re going to see. That rate drop might just open up things for them.”

Other data to watch

Boesel said the Fed will also be keeping an eye on employment numbers in addition to inflation. As for home buyers and sellers, housing inventory will also play a factor in getting the housing market moving.

“I think employment is important because the Fed will want to watch where that’s going,” Boesel said. “Keep your eye on employment and inventories as well. For current owners, if inventories increase, that’s not such a great thing for them in selling and getting a good price on their home. That works in the favor of new buyers.