After successive weeks of rising rates, borrowers were offered a slight reprieve this week as markets anticipated a Federal Reserve announcement following its policy meeting on Wednesday. Mortgage rates held at five-year highs, and the meeting offered few surprises.

The short-term interest rate targeted by the Fed are now 175 basis points higher than two years prior – the largest 24-month jump since 2007. Mortgage rates are up slightly less over that same 24-month window, jumping only about 120 basis points. The Fed’s longer-term projections suggested a steady pace of rate hikes over the coming two years, largely in line with market expectations.

Markets also responded favorably to Fed Chairman Jerome Powell’s comments regarding inflation, in which he stated that he does not expect any unforeseen increases. Low inflation is crucial to keeping mortgage rates subdued, so markets are likely to keep a close eye on Friday’s inflation data release. Additionally, rates could be volatile building up to September jobs data due late next week.

All told, despite this recent reprieve, there’s no doubt that, while periodic fits and spurts may occur, the trend in mortgage rates is decisively upward.