Economic News: As we end the week and prepare for the upcoming Independence Holiday we can reflect on what was a positive string of housing reports. New Home Sales were strong with a 7.6% increase in May and the inventory of new homes for sale dropped to 4.7 months. The Case-Shiller Home Price Index was up for the third month in a row and was at the higher end of expectations. Finally, the Pending Home Sales results were a great way to end the week on housing data showing a 7.9% jump. The reports on consumer expectations were not so positive with a drop in both Consumer Confidence and Consumer Sentiment which took us back to levels seen at the beginning of the year. Durable Goods Orders for May made a nice comeback after a string of weaker reports and Gross Domestic Product for the first quarter was reported at an annualized rate of 1.9%. Have an enjoyable and safe 4th of July Holiday!
Mortgage Markets: The 10 Year Note is losing a little ground due to a rising stock market to end the week and is currently trading at 1.658% versus 1.678% at the end of last week. Mortgage rates are little changed.
Next Week’s Reports: Monday: ISM Manufacturing Index, Construction Spending Tuesday: Motor Vehicle Sales, Factory Orders Thursday: ADP Employment Report, Jobless Claims, ISM Non-Manufacturing Index Friday: Employment Situation
While I do not originate loans I make it a habit to keep abreast of mortgage & market conditions. If you are thinking of purchasing a home the first step is to meet with a mortgage professional. I will gladly provide several top-notch Bay Area advisers for your review if you are in need of a referral.