Market Update - 05/27/2026

For homebuyers and homeowners here in Omaha and across the Midwest, this week brought a bit of encouraging news for mortgage rates. Ongoing discussions surrounding a potential peace agreement between the U.S. and Iran have once again eased some concerns in the global markets. As optimism around a deal has grown, oil prices have continued drifting lower toward the $90-per-barrel range after briefly dipping into the $80s earlier this week. Since higher energy prices often fuel inflation concerns, lower oil prices are helping bond markets improve — and that’s typically positive news for mortgage rates.

That said, markets remain cautious. Even if a formal agreement is reached, it will likely take months to fully implement, and investors expect there could still be setbacks or renewed tensions along the way. Because inflation remains a major concern nationwide, mortgage rates are still likely to experience some volatility throughout the summer rather than falling sharply overnight.

Here in the U.S., the Federal Reserve continues to focus heavily on inflation, even as parts of the job market begin to show signs of slowing. Employment levels remain relatively strong overall, which makes it more difficult for the Fed to justify cutting rates aggressively in the near future — especially while inflation data continues running hotter than expected.

For buyers in the Omaha market, this means mortgage rates may continue moving within a fairly narrow range over the coming weeks. While affordability challenges are still present, improving inventory levels across many Midwest markets are giving buyers more opportunities and negotiating power than we saw during the past few years of ultra-competitive conditions.

Tomorrow’s GDP and inflation reports will be closely watched by investors and mortgage markets alike, especially ahead of the next Federal Reserve meeting in mid-June — the first meeting led by new Fed Chair Kevin Warsh.