Get Adobe Flash player

Archives

Markets in a Minute | May 19, 2017

For the Week Ending May 19, 2017
 

Please enjoy this quick update on what happened this week in the housing and financial markets.

 

 

Stocks plummeted and bonds rallied after events in Washington, D.C., spooked investors. The rally in bonds has helped to improve mortgage rates.
The investigations into Trump’s recent activities have occupied investors’ attention. Other factors, such as possible Fed rate hikes, have taken a back seat.
The labor market appears to be near full strength as jobless claims came in at a 28-1/2-year low. This is the 115th straight week claims were below 300,000.

 

Home builders showed the highest confidence in the housing market since June 2005. The NAHB index reached 71 in May, as home supply remains tight.
Housing starts were down slightly in April, but building of single-family homes was up 0.4%. Labor and material shortages could be to blame.
Builders are struggling to meet demand of lower-priced starter homes. Higher costs for labor, land and materials make it more expensive to build homes.

 

Why did the scarecrow get a raise?

He was outstanding in his field.

 

Rate movements and volatility are based on published, aggregate national averages and measured from the previous to the most recent midweek daily reporting period. These rate trends can differ from our own and are subject to change at any time.

Markets in a Minute | May 12, 2017

For the Week Ending May 12, 2017
 

Please enjoy this quick update on what happened this week in the housing and financial markets.

 

Inflation at the wholesale level, before it reaches the consumer, rose 0.5% in April and is up 2.5% for the last 12 months. Inflation pressures rates to go higher.
The Fed is expected to raise policy rates at their June FOMC meeting. Raising rates will help keep rising inflation in check at the Fed’s target of 2%.
There’s speculation that the Fed may also raise policy rates again in September. Mortgage rates may be pressured higher now as traders prepare for the hike.

 

Fannie Mae’s Home Purchase Sentiment Index rose 2.2% in April. Five of six components that measure confidence in buying were up for the month.
Forty-nine percent of those that don’t yet own a home expect to purchase in the next 5 years. Ten percent say they plan to buy as soon as the next year.
Mortgage applications were up last week, with home buyers fueling the increase. Total applications for loans rose 2.4%, showing strong demand continues.

 

Sometimes I tuck my knees into my chest and lean forward. That’s just how I roll.

 

Rate movements and volatility are based on published, aggregate national averages and measured from the previous to the most recent midweek daily reporting period. These rate trends can differ from our own and are subject to change at any time.