Weekly Market Commentary - For The Week Ending 1/30/26

Rates Down This Week, NO Changes to Benefit Amounts Next Week!

Welcome to this week’s edition of the SimpleReverse Weekly Market & Interest Rate Update for the week ending 1/30/26! This newsletter gives you a quick update on what is going on in the markets and where the 10YR CMT is headed for the upcoming week.

Market Update:

Mortgage rates continue to hold near recent lows and the 10YR Treasury is holding steady in the low 4% range after the FED held rates steady this week and positioned for an extended pause on any further rate cuts as risks for both of it’s mandates – inflation and employment – are receding.

In other news regarding the FED this morning, President Trump announced that he is nominating Kevin Warsh as the next FED Chair. Warsh has prior FED experience and brings a past hawkish stance on inflation. Reactions in the bond market were mixed on this news. For the time being the FED looks poised to leave rates on hold, but Warsh could build a consensus for policy easing later this year after he takes the helm, especially if inflations starts to cool..

Markets continue to expect one to two rate cuts this year, especially after the news of Warsh’s nomination. However, growth and inflation numbers moving forward will remain critical in determining the FED’s next steps and the markets are anxious to see how Warsh’s leadership style and influence over the FED will play out after he takes control this summer.

For Reverse Mortgage Professionals, with rates still off their highs and the 10YR CMT in a more manageable range, you are better positioned to revisit past leads, educate referral partners and frame reverse mortgages as a real retirement planning tool and not just a last resort loan program.

10YR CMT Interest Rate Projection for Next Week:

The 10YR CMT currently sits at 4.27% for this week and has been down slightly this week. We will see a decrease of around 2-4 bps in the Expected Rate next week! This will have NO IMPACT on the Expected Rate and will result in NO CHANGE to Benefit Amounts next week!

Based on the data from this week, we will see a DECREASE in the Expected Rate of about 2-4 bps for next week. This DECREASE will have NO IMPACT on Benefit Amounts for next week. So, there will be NO DIFFERENCE IN BENEFIT AMOUNTS FOR YOUR CUSTOMERS FROM THIS WEEK TO NEXT WEEK! As usual, new rates for next week will take effect on Tuesday 2/3/26! We are providing this data to you so that YOU can continue to make the decisions that best suit your business based on the information you have!

If you have questions about this, please let me know! Thanks for the partnership and Good Selling!!!