MARKETS CHANGE DIRECTION...Stocks initially rallied following the midterm elections as political uncertainty eased. That optimism faded when renewed concerns about artificial intelligence spending and profitability triggered a technology-led sell-off.
Treasury yields declined as investors moved toward bonds. Expectations of slower government spending and reduced corporate borrowing also helped support bonds, potentially easing pressure on longer-term financing costs.
Oil prices fell sharply as investors considered the possibility of diplomatic progress in the Iran conflict. Sustained declines could help ease inflation pressures, although the outlook remains uncertain.
The week ended with the Dow down 0.9%, to 51,286; the S&P 500 down 2.7%, to 7,377; and the Nasdaq down 3.4%, to 24,579.
Mortgage rates declined for a third consecutive week, with Freddie Mac's 30-year fixed average reaching 7.18%. The improvement offers some relief, although financing costs continue to limit purchasing power.
DID YOU KNOW...First-time homebuyers are increasingly purchasing homes with cash, according to the National Association of Realtors. It's a reminder that not every first-time buyer follows the traditional mortgage-financing path.
