Economic News…was on the soft side this week. Retail Sales came in less than expected for the second consecutive month and Consumer Sentiment took a bit of a hit for the first two weeks of August. Weekly Jobless Claims ticked up in the most recent week as well. On a positive note, Industrial Production beat consensus and still shows that the manufacturing economy in the US is growing. This one report could not buoy the market though and with shrinking economic output in Japan and the Euro-Zone money was flowing into bonds worldwide. Keep an eye out on the housing reports next week. These will be closely watched since there has been concern of a potential slowdown in the sector.
Mortgage Markets…continue to rally and interest rates are moving toward the lows of the year. The 10 Year Note closed trading at 2.342% versus last week’s closing yield of 2.430%.
Next Week’s Market Moving Reports…Monday: Housing Market Index Tuesday: Consumer Price Index, Housing Starts Wednesday: Minutes from the Federal Open Market Committee Thursday: Jobless Claims, Existing Home Sales
While I do not originate mortgages, I make it a habit to keep abreast of market & home loan 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.