[Alice] Thank you, Matt. That was terrific. As a matter of fact, I think I’m gonna go back and listen to that a few times because it was some great real life, real time explanations of what happened in the market last week and really helped me in particular, I’m hopefully many of our listeners on understanding the why behind a lot of these movements and what people are thinking about in terms of inflation and employment. So Bill. I’m gonna turn it over to you to get your take and what Matt and Les have told us.
[Bill] So, thank you Alice. A couple of points to try and tie together. So when Les talked about the slow to ease from the Fed’s perspective, being good for mortgage rates and if the belief is the Fed is a bit behind the curve, which has been talking about quite a bit, then that’s where you can see long term rates, tenure, which is obviously what most mortgage folks paying attention to can drop before the Fed moves. That’s what we’ve see longer term forecast. That’s number one. Number two, when about the Fed getting together that let the fed, whether you agree with their decision or not, let the Fed do their job and recognized it and I agree with Matt that the chairman has an outside influence. But it’s still 12 members that have to cast a vote and they’re all quite intelligent and have their opinions. So, you have to put the political interference aside. I think the other key thing with all of the drama that was talked about last Thursday, and does Trump have a letter to Fire Powell or not? Fed Governor Waller, who’s been talked about as one of the replacements, was on Bloomberg on Friday morning and did about a 20 minute interview, which to me can be summed up with the, let the adults in the room do their job. He very clearly articulated. Why he believes that rates should come down a bit. And when you say rates, we’re talking about the Fed fund rate. He is not talking about going down to the 1% that Trump keeps talking about. He is talking about a series of quarter, maybe over time, 50 basis point cuts. But he also very clearly articulated why a lot of his co members on the Fed Board of Governors aren’t in that camp. And I think, it didn’t really click until Matt mentioned it, that getting that out in the open right before Fed Governors went into their blackout period, was trying to send the message to the market that let the adults in the room through their job. And it’s probably not a surprise that yields are down pretty recently on 10 year. I think that’s right. The markets like and stability and well thought out decisions, whether you agree with the ultimate direction or not. Knee jerk reactions coming outta the political class is what’s gonna create uncertainty in the rate environment. So not, we won’t hear a lot from the Fed over the next. A week from Wednesday. And that’s probably the month.
[Alice] We’ll see if that can happen. Hopefully they’re listening and I love your perspective, Bill. It’s been really insightful. Thank you for helping us, like you said, stitch those two pieces together and get a perspective to just, keep going on with your business as we keep saying for the next week, and we’ll see what happens. So thank you very much, Bill. Thanks for your perspective.