Mortgage rates continued to slowly improve from October's highest rates seen in decades, reacting to markets' now speculating that the Fed may cut policy rates as soon as March after previous expectations of cuts starting in June.

Although rate improvements will lose steam eventually, the next couple of weeks could see rates move even a bit lower from here. This week we get a lot of labor market data, which could improve mortgage rates if traders find any weakness in the jobs data. Next week we get inflation data and the Fed meeting.

- Economic data: Every day after Monday brings some kind of labor market report. Tuesday is the Job Opening and Labor Turnover Survey, Wednesday is ADP private payrolls, Thursday is unemployment claims, and Friday brings the biggest report with new job creations, wage increases, and unemployment numbers.

- The Fed: It was Fed members' comments last week that helped push mortgage rates lower, but Fed members are now on a media blackout until the Fed meeting next week. As markets increase the belief that the Fed will cut rates sooner in 2024, rates will improve.