Mortgage rates fell friday. It was nice to see this as lately not a whole lot of good news has been reported. Things are getting better I guess just not as fast as we would all like.
There will be four reports released this week with only one of them being considered important. This week the biggest indicator of rates will no doubt be the stock market. September's existing home sales will be released tuesday morning, this will give us an indication of the strength (or weakness) of the housing sector and the mortgage credit demand. While this report will most likely not bring much of a change in mortgage rates or the bond market it has a chance to provide a slight change. Thursday the Durable Goods Orders report will be released which if the report shows a increase in orders over what the analysts expected than we should see an increase in rates as bond prices will fall. This Friday the University of Michigan will release the index for Consumer Sentiment for this month. This report is very important because it will measure the confidence of the consumer basically telling us their willingness to spend. Consumer spending makes up nearly two thirds of our economy this data is vital.
This should be a somewhat important week for the market and giving us an indication of how investors feel about stocks as opposed to the safe bet of bonds. The treasury auction on thursday could either lead to a rally in bonds or selling. Thursday is when the 5 year notes will be sold. So lets sit back and look at what happens over the coming week and expect for things to .......... stay the same ...........
stay the same is my guess but its just a guess. If I knew what this market would do I would have a show on T.V. and be able to tell everyone what was going to happen. With that not being the case I would say lock your rates asap and hope the rates stay or go down but you never know.
Comments(1)