Last Weeks News And How It Could Impact Your Business

Mortgage and Lending with WR Starkey Mortgage

Both the news regarding Bin Laden and the announcement regarding the number of jobs added last month will have a positive impact on public's sentiment.  As the consumer feels better about their world, this will translate into spending which will help sustain the recovery.  And, while the stock market is off a bit this week, it is still up 5% for the year.  This too helps the general feeling that things are getting better.   But the window might be short and you should prepare yourself and your clients for it to change.  Here's why:  All the good economic news should add fuel to the inflation fire and drive mortgage rates up.  BUT, the Fed is hard at work and continues to buy mortgage backed securities.  This has pushed rates back down to the lowest levels of the year.  The Fed is scheduled to stop doing buyihg mortgages the end of June.  Be prepared.  Rates will definitley feel the push upward when this happens.

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