Technologies

Fed Rate Cuts Unlikely This Summer. Are Lower Mortgage Rates Still Possible?

The Fed’s impact on mortgage rates isn’t direct, but it matters. Here’s what to know about the central bank’s latest decision.

There’s a wild amount of uncertainty in today’s economy, but one thing is clear: The Federal Reserve isn’t planning to lower interest rates this summer. Mortgage rates, which have been stuck near 7% for the past several months, are likely to stay higher for longer.

On June 18, Fed officials voted to leave borrowing rates unchanged for a fourth consecutive meeting. Holding interest rates where they are allows the central bank to evaluate how President Trump’s unpredictable tariff campaign, immigration policies and federal cutbacks affect both inflation and the job market.

Often, what the central bank simply says about future plans can cause a stir in the housing market. Mortgage rates are driven by bond investors and a host of other factors, i.e., not directly determined by the Fed.

«The mortgage market reacts fast to uncertainty, and we’ve got no shortage of it this summer,» said Nicole Rueth, of the Rueth Team with Movement Mortgage.

Why is the Fed not cutting interest rates?

The Fed sets and oversees US monetary policy under a dual mandate to maintain price stability and maximum employment. It does this largely by adjusting the federal funds rate, the rate at which banks borrow and lend their money.

When economic growth is weak and unemployment is high, the Fed lowers interest rates to encourage spending and propel growth. Reducing interest rates could also allow inflation to surge, which is generally bad for mortgage rates.

Keeping rates high, however, increases the risk of a job-loss recession that would cause widespread financial hardship. If unemployment spikes — a real possibility given rising jobless claims — the Fed could be forced to implement interest rate cuts earlier than anticipated.

«The Federal Reserve is in one of the trickiest spots in recent economic history,» said Ali Wolf, Zonda and NewHomeSource chief economist.

What is the forecast for interest rate cuts in 2025?

On Wednesday, markets eyed the Fed’s Summary of Economic Projections, which outlined two 0.25% rate cuts in 2025, unchanged from earlier estimates. But that’s far from guaranteed. The updated forecast suggests that tariffs will push prices higher, suggesting that consumers have not yet felt the full effect of these import duties.

«Everyone that I know is forecasting a meaningful increase in inflation in the coming months from tariffs, because someone has to pay for the tariffs,» Fed Chair Jerome Powell said during a June 18 press conference.

Inflation could prompt the central bank to forgo one (or both) of its projected rate cuts, which would keep mortgage rates high.

Though Powell remains noncommittal on any specific time frame, financial markets still see a potential interest rate cut coming as early as this fall.

Most housing market forecasts, which already factor in at least two 0.25% Fed cuts, call for 30-year mortgage rates to stay above 6.5% throughout 2025.

«Average rates are likely to stay in the 6.75% to 7.25% range unless the Fed signals multiple cuts and backs up their policy with data,» Rueth said.

What factors affect mortgage rates?

Mortgage rates move around for many of the same reasons home prices do: supply, demand, inflation and even the employment rate.

Personal factors, such as a homebuyer’s credit score, down payment and home loan amount, also determine one’s individual mortgage rate. Different loan types and terms also have varying interest rates.

Policy changes: When the Fed adjusts the federal funds rate, it affects many aspects of the economy, including mortgage rates. The federal funds rate affects how much it costs banks to borrow money, which in turn affects what banks charge consumers to make a profit.

Inflation: Generally, when inflation is high, mortgage rates tend to be high. Because inflation chips away at purchasing power, lenders set higher interest rates on loans to make up for that loss and ensure a profit.

Supply and demand: When demand for mortgages is high, lenders tend to raise interest rates. This is because they have only so much capital to lend in the form of home loans. Conversely, when demand for mortgages is low, lenders tend to slash interest rates to attract borrowers.

Bond market activity: Mortgage lenders peg fixed interest rates, like fixed-rate mortgages, to bond rates. Mortgage bonds, also called mortgage-backed securities, are bundles of mortgages sold to investors and are closely tied to the 10-year Treasury. When bond interest rates are high, the bond has less value on the market where investors buy and sell securities, causing mortgage interest rates to go up.

Other key indicators: Employment patterns and other aspects of the economy that affect investor confidence and consumer spending and borrowing also influence mortgage rates. For instance, a strong jobs report and a robust economy could indicate greater demand for housing, which can put upward pressure on mortgage rates. When the economy slows and unemployment is high, mortgage rates tend to be lower.

Read more: Fact Check: Trump Doesn’t Have the Power to Force Lower Interest Rates

Is now a good time to get a mortgage?

Even though timing is everything in the mortgage market, you can’t control what the Fed does. «Forecasting interest rates is nearly impossible in today’s market,» said Wolf.

Regardless of the economy, the most important thing when shopping for a mortgage is to make sure you can comfortably afford your monthly payments.

More homebuying advice

Technologies

Today’s NYT Mini Crossword Answers for Saturday, June 28

Here are the answers for The New York Times Mini Crossword for June 28.

Looking for the most recent Mini Crossword answer? Click here for today’s Mini Crossword hints, as well as our daily answers and hints for The New York Times Wordle, Strands, Connections and Connections: Sports Edition puzzles.

Need some help with today’s Mini Crossword? It’s Saturday, so it’s extra-long, and might take you a while. Read on. And if you could use some hints and guidance for daily solving, check out our Mini Crossword tips.

The Mini Crossword is just one of many games in the Times’ games collection. If you’re looking for today’s Wordle, Connections, Connections: Sports Edition and Strands answers, you can visit CNET’s NYT puzzle hints page.

Read more: Tips and Tricks for Solving The New York Times Mini Crossword

Let’s get to those Mini Crossword clues and answers.

Mini across clues and answers

1A clue: Detachable parts of a dress form
Answer: ARMS

5A clue: Catering container containing caffeine
Answer: TEARUN

8A clue: Climbing structure offered in pet stores
Answer: CATTREE

9A clue: Gets into town
Answer: ARRIVES

10A clue: Frédéric Chopin or Ray Charles, notably
Answer: PIANIST

11A clue: They don’t hold water
Answer: SIEVES

12A clue: ___-jerk reaction
Answer: KNEE

Mini down clues and answers

1D clue: With some chance of failure
Answer: ATARISK

2D clue: Prepare for a new job, maybe
Answer: RETRAIN

3D clue: Midday Broadway showing
Answer: MATINEE

4D clue: Goal of a noted reality show set on an island
Answer: SURVIVE

6D clue: Witherspoon who portrayed June Carter in «Walk the Line»
Answer: REESE

7D clue: Lodgings for larks
Answer: NESTS

8D clue: Souvenir from a baseball game
Answer: CAP

Technologies

Facing Billions in DMA Fines, Apple Lets EU iPhone Users Install Apps Outside the App Store

A last-minute rule change lets European iPhone owners download apps from rival stores and developer websites, while introducing new fees that Apple hopes will satisfy regulators in Brussels.

In a scramble to sidestep penalties that could soar into the billions, and with Brussels regulators watching closely, Apple has agreed to let Europeans download iPhone apps from outside its own App Store.

With just hours left before an EU compliance deadline, the company said residents of the 27-nation bloc will soon be able to grab apps from rival marketplaces or straight off a developer’s website. The change rolls out later this year with iOS 18.6 and iPadOS 18.6, and also lets users set a different browser engine and choose a third-party wallet at checkout.

For everyday EU iPhone owners, that means the download button could pop up in more places than just Apple’s storefront. After you select the new setting, iOS shows a one-time permission sheet confirming you’re leaving Apple’s marketplace. The app then passes a quick notarization scan meant to weed out malware. Apple notes that off-store downloads work only inside the EU, and disappear if you stay outside the bloc for more than 30 days.

Cost to developers

Developers do gain fresh distribution freedom, but there’s a price tag. A new two-tier Store Services fee asks for 5% of outside sales in exchange for basic services like app reviews and support in what’s called Tier 1, or 13% for the full bundle of perks, including automatic updates and App Store promotions in Tier 2.

Apple will take a 5% «Core Technology Commission» on any purchase made outside its own payment system. That new cut will phase out the current €0.50-per-download fee and become the sole charge across the EU when a unified pricing model arrives on Jan. 1, 2026.

Apple insists «more than 99%» of devs will pay the same or less under the revamped math.

Why now?

In April, the European Commission fined Apple €500 million ($585 million) for blocking developers from steering users to cheaper payment options, and warned that daily penalties of up to 5% of global revenue could follow if it failed to comply.

Throughout the back-and-forth, Apple has accused the commission of «moving the goalposts» on what counts as compliance, with a spokesperson saying the company has invested «hundreds of thousands of hours» to meet the EU’s evolving demands.

Epic Games CEO Tim Sweeney blasted the 5% tier as a «malicious compliance scheme» that «makes a mockery of fair competition.»

If regulators decide Apple still hasn’t gone far enough, the iPhone maker could face steeper sanctions, or even be forced to separate its App Store business.

Technologies

Today’s Wordle Hints, Answer and Help for June 27, #1469

Here are hints — and the answer — for today’s Wordle No. 1,469 for June 27. Some players need a new starter word now.

Looking for the most recent Wordle answer? Click here for today’s Wordle hints, as well as our daily answers and hints for The New York Times Mini Crossword, Connections, Connections: Sports Edition and Strands puzzles.

Today’s Wordle puzzle isn’t too tough, but somehow, it has a starting letter I never seem to guess. Some posters on Reddit say it was one of their starter words, so now they’re in the market for a new way to begin the game. If you need a new starter word, check out our list of which letters show up the most in English words. If you need hints and the answer, read on.

Today’s Wordle hints

Before we show you today’s Wordle answer, we’ll give you some hints. If you don’t want a spoiler, look away now.

Wordle hint No. 1: Repeats

Today’s Wordle answer has no repeated letters.

Wordle hint No. 2: Vowels

There are two vowels in today’s Wordle answer.

Wordle hint No. 3: First letter

Today’s Wordle answer begins with P.

Wordle hint No. 4: Placement

The two vowels are next to each other.

Wordle hint No. 5: Meaning

Today’s Wordle answer can refer to something that is not decorated and is simple.

TODAY’S WORDLE ANSWER

Today’s Wordle answer is PLAIN.

Yesterday’s Wordle answer

Yesterday’s Wordle answer, June 26, No. 1468 was OFFER.

Recent Wordle answers

June 22, No. 1464: THRUM

June 23, No. 1465: ODDLY

June 24, No. 1466: ELITE

June 25, No. 1467: COMFY

Will Wordle run out of words?

When Wordle began, creator Josh Wardle used a list of five-letter words he’d shared with his partner, picking only the words they recognized. While that’s more than 2,000 words, more than half of them have already been used.

Wordle editor Tracy Bennett admitted that the game will eventually have to come to grips with the fact that the word list is not eternal.

«One possibility is that we could recycle old words at some point, like when we get close to the end,» Bennett told a Wordle player on TikTok.

She also said the editors might throw all the words back in and reuse them, or allow plurals, or past tense, something that’s not done now.