Will mortgage rates fall ahead of January's Fed meeting?

Key Highlights

• No Fed interest rate cut is expected, but mortgage rates often move regardless.
• Yahoo Personal Finance · Xinhua News Agency via Hal Bundrick, CFP® · Senior Writer Fri, January 23, 2026 at 11:16 PM GMT+5:30 4 min read The Federal Reserve's Open Market Committee (FOMC) is expected to leave interest rates unchanged this week.
• While mortgage rates often anticipate a Fed rate move, rising or falling well before the FOMC announces its decision, rates have found another motivator: President Trump.
• The Fed rate announcement has been Trumped When the Fed goes into its "wait and see" mode, as it is now, mortgage rates look for a catalyst elsewhere.
• Current Fed funds futures, as measured by the CME Group, expect a quarter-point rate cut no sooner than June.