Mortgage rates jumped late last week in the immediate aftermath of recent statements from the Federal Reserve, before flattening in recent days.

Last week’s Fed announcement that indicated the central bank anticipates two, 25-basis point increases to their benchmark interest rates initially sent shockwaves through markets that previously hadn’t expected any rate adjustments in that time frame, prompting an initial jump in Treasury yields and mortgage rates. But while shorter-term Treasury yields continued to climb in the days following the announcement, the upward momentum in longer-term yields – which generally dictate the path of mortgage rates – faded and yields turned back downward, at one point touching their lowest levels in months. Mortgage rates didn’t fall by quite as much, instead levelling off for the remainder of the week. The likelihood of a higher federal funds rate, and a more hawkish tone coming from the Fed, also led some investors to soften their longer-term expectations for growth and inflation, placing more downward pressure on the Treasury yields that tend to influence mortgage rates.

All told, after a brief jolt upwards, markets once again appear to be in a holding pattern, waiting for the next bit of news that might push yields and rates in one direction or another. And they might not have to wait much longer, as May inflation figures are due on Friday.