Economy Enters 2025 on Strong Footing as Markets Digest Policy Uncertainty
Rhea-AI Summary
Tempus AI (NASDAQ: TEM) and Genialis have announced a multi-year collaboration to develop new RNA-based algorithms for cancer treatment. Genialis will utilize Tempus' multimodal dataset to validate their AI foundation model, the Genialis™ Supermodel, which was developed using ~1 million RNA-sequencing samples.
Through this partnership, Genialis gains access to Tempus' Lens analytics platform, providing de-identified multimodal patient records to validate biomarker signatures. Tempus receives rights to evaluate and potentially license Genialis-developed algorithms for their xR platform.
The collaboration has already yielded results with Genialis™krasID, the first commercial algorithm predicting patient response to KRAS-targeted therapies across cancer types. This algorithm, validated using Tempus' data, effectively stratifies patients into response groups based on their likelihood of treatment success.
Positive
- Strategic access to Tempus' extensive multimodal dataset for algorithm validation
- Successful launch of Genialis™krasID commercial algorithm
- Potential revenue stream from algorithm licensing for Tempus
- Validated clinical utility in real-world studies
Negative
- None.
AI-generated analysis. How Rhea-AI works. Not financial advice.
Mortgage Rates Predicted to End 2025 at 6.6 Percent but Remain Volatile
The ESR Group now expects mortgage rates to end 2025 and 2026 at 6.6 and 6.5 percent, respectively, upward revisions from its prior outlook. The ESR Group notes there are plausible scenarios for both upward and downward movement in mortgage rates due to trade policies, but its expectations for mortgage rate volatility this year remains intact as markets react to trade policy announcements, incoming economic data, and other fiscal policy changes. Additionally, the ESR Group made modest upward revisions to its existing home sales outlook for 2025 due to a stronger-than-expected December sales pace and resilient purchase applications data, but it notes that the level of existing sales is still expected to be 22 percent below the pace seen in 2019.
"Economic growth was strong to start the year as fourth quarter personal consumption data came in above our expectations," said Kim Betancourt, Fannie Mae Vice President of Multifamily Economics and Strategic Research. "Going forward, we expect the economy to decelerate slightly as consumer spending slows to a level more consistent with its historical relationship to income. However, ongoing uncertainty around trade policy adds risk to our GDP and inflation outlooks, which may have implications for mortgage rates, although the direction – up or down – would depend on a number of factors. Higher mortgage rates would exacerbate the existing 'lock-in effect' and worsen affordability, which may then weigh on home sales and mortgage originations activity. Of course, if mortgage rates move lower, we'd likely see an improvement in affordability and a corresponding pickup in housing activity."
Visit the Economic and Strategic Research site at fanniemae.com to read the full February 2025 Economic Outlook, including the Economic Developments Commentary, Economic Forecast, and Housing Forecast. To receive email updates with other housing market research from Fannie Mae's Economic and Strategic Research Group, please click here.
Opinions, analyses, estimates, forecasts, beliefs, and other views of Fannie Mae's Economic and Strategic Research (ESR) Group included in these materials should not be construed as indicating Fannie Mae's business prospects or expected results, are based on a number of assumptions, and are subject to change without notice. How this information affects Fannie Mae will depend on many factors. Although the ESR Group bases its opinions, analyses, estimates, forecasts, beliefs, and other views on information it considers reliable, it does not guarantee that the information provided in these materials is accurate, current, or suitable for any particular purpose. Changes in the assumptions or the information underlying these views could produce materially different results. The analyses, opinions, estimates, forecasts, beliefs, and other views published by the ESR Group represent the views of that group as of the date indicated and do not necessarily represent the views of Fannie Mae or its management.
About the ESR Group
Fannie Mae's Economic and Strategic Research Group, led by Chief Economist Mark Palim, studies current data, analyzes historical and emerging trends, and conducts surveys of consumer and mortgage lender groups to provide forecasts and analyses on the economy, housing, and mortgage markets.
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