Mortgage Rates Surge Higher

Mortgage and Lending with Southwest Funding

How much stronger the second quarter will ultimately be won't be revealed until the end of July, and even that will be only a preliminary estimate. Some early forecasts point to present levels of growth near "potential" for the economy, somewhere around 3% GDP. In light of how little slack in resource utilization was achieved after a year of approximately 2% growth, faster GDP growth -- and rising resource utilization -- isn't the way to trim already-stubborn inflation.

Inflation concerns are evident around the world; the European Central Bank raised rates a quarter percentage point this week, setting their key interest rate at 4%. Opportunities in other bond markets are drawing off investor dollars, adding more firmness to U.S. interest rates.

DFW Loan Officer

Jeff Schraeder

Imperial Mortgage

Comments (1)

Christopher & Bernadette Hurley
Go Hurley Group - Sugar Land, TX

Thats pretty scary... Look how much they predict it will grow!

Good post.

Sugar Land, Tx
Where Life is Sweet

Jun 14, 2007 09:43 AM