A rapid sequence of risk events, including a sell-off in stocks and ongoing international trade tensions, caused mortgage rates to fall to their lowest levels in a month.

The global rout of stocks has yet to subside, and equities are now down for the year. The decline has driven investors to seek safer assets, resulting in a significant decline in mortgage rates. In fact, rates are now approaching the bottom of their recent trading range.

International concerns also have contributed to this uncertainty and subsequent slide in rates. The United Kingdom continues to grapple with the Brexit debate. And United States/China trade disagreements boiled over this week, as the Asia-Pacific Communications Summit concluded without a joint communiqué for the first time.

As a result, despite a slew of strong economic releases over the past few months, especially in the labor market, investors appear to be growing increasingly wary of the global economy’s ability to maintain recent growth and are resetting their expectations accordingly. This sentiment was echoed this week by Federal Reserve Vice Chair Richard Clarida, who suggested that evidence of a global economic slowdown could decelerate the Fed’s plans to increase rates.

For now, however, despite this week’s decline, rates remain near their highest levels since 2011, and a December rate increase is all but inevitable. Markets are likely to be quiet for the remainder of the week but could react early next week to initial reports of retail spending at the start of the holiday shopping season. Strong store traffic and receipts would show that American consumers still feel secure despite stock market turmoil – and could send rates back on their upward trajectory.