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 Today saw mortgage rates improve today, albeit in a marginal way. This has been a busy week with European / Greek drama, a Facebook IPO, new historic record low mortgage rates and a release of the FOMC (Federal Open Market Committee) minutes from their last meeting.
Europe Dominates Headlines Again
We started the week with news of a possibility of a Greek exit from the Euro and market watchers keeping a close eye on the European situation all week long. Month after month Europe has dominated headlines since each piece of news could give clues to other underlying weaknesses present in the European Union. Spain and Italy are the two countries most are most concerned about, however. If they fall, the Euro Zone as a whole may fall as well.
The good news is that bad news coming from Europe exerts downward pressure on mortgage rates and Europe is a large part of why mortgage rates have repeatedly set new historical lows.
FOMC Releases Minutes from its April Meeting
The FOMC released its April Minutes earlier this week. These minutes chronicle the 8 annual FOMC meetings and are released three weeks post meeting. The minutes helped push mortgage rates lower this week due to the verbiage that indicated more easing will like take place and that they will be “highly accommodative” in their position toward easing monetary policy.
Highlights from the FOMC Minutes:
- Labor market conditions have improved in recent months
- The unemployment rate has declined but remains elevated
- The Committee seeks to foster maximum employment and price stability
- The Committee expects economic growth to remain moderate over coming quarters and then to pick up gradually
- The Committee expects to maintain a highly accommodative stance for monetary policy
From the FOMC Press Release:
To support a stronger economic recovery and to help ensure that inflation, over time, is at the rate most consistent with its dual mandate, the Committee expects to maintain a highly accommodative stance for monetary policy. In particular, the Committee decided today to keep the target range for the federal funds rate at 0 to 1/4 percent and currently anticipates that economic conditions–including low rates of resource utilization and a subdued outlook for inflation over the medium run–are likely to warrant exceptionally low levels for the federal funds rate at least through late 2014.
Where are Mortgage Rates Now After This Hectic Week?
The truth is that there is a very good chance they will have changed from the time we’ve written this till the time you read it. That’s ok though, we can give you an up to the minute quote via the fast quote form above or if you call us directly. We can also answer any other questions you might have about loan programs and which loan makes the most sense for your needs, whether you are purchasing a home or refinancing an existing home.
Tags: Europe, FOMC, mortgage news, Mortgage Rates
 Yesterday saw mortgage rates take a breather from their downward path, despite breaking all time historic lows last week and mounting downward pressure in the form of European debt issues.
The political and economic turmoil in Europe that market watchers have been observing for months has begun to frenzy as Greece looks to possibly stop using the Euro.
Economic Data Beats Expectations
Fast forward to today and some very positive data has come out this morning that may exert upward pressure on mortgage rates.
Housing Starts and Permits data for April was released this morning and it came in better than expected. The data showed 717 thousand units when the market had been expecting 680 thousand housing units. Generally speaking, news that shows health in the US economy is bad for mortgage rates.
A second piece of data also beat expectations this morning. The Industrial Production report came in with a figure of 1.1%, which is more than twice the figure of .5% that the market was expecting and the highest level reported in over a year.
What’s Ahead For Mortgage Rates Today?
This afternoon will see the Federal Reserve Open Market Committee (FOMC) release minutes from their past meeting. Market watchers will be looking closely for any signals or verbiage that might provide insight into future FOMC actions in regard to stimulus.
As we get more economic data being released each week, the health of the data is taken into consideration by the FOMC and can play a role in their decision as to whether they will employ more or less stimulus in the future.
Tags: debt crisis, Europe, FOMC, mortgage news, Mortgage Rates
 Last week saw mortgage rates move again into all time record low territory, only to retrace higher slightly later in the week. Mortgage rates experienced downward pressure due to the news regarding the JP Morgan trading loss of over $2 billion dollars. This was good for mortgage rates because bad news tends to push investors out of stocks and equities and into bonds.
When bonds have an increase in buyers, it tends to increase their price (supply and demand) with has an inverse effect on mortgage rates. In other words, bad news is good for mortgage rates!
The Week Ahead: It’s All About Europe
The markets have kept a close eye on Europe for a good number of months. The major concern as each country comes forward with its own debt issues is that as these issues spread to countries like Italy and Spain, it gives more credence to a bigger issue with the European Union as a whole. This can and will negatively affect the United States.
As with all bad news coming out of Europe, the latest bombshell that Greece may be ditching the Euro is front and center news on the world stage. How this plays out can absolutely move mortgage rates. The messier it gets, the more downward pressure there will be on mortgage rates. Mortgage rates just may break the new historic lows set last week.
Economic Calendar for Week of May 14, 2012
- Monday - N/A
- Tuesday - Consumer Price Index, Retail Sales, Housing Market Index
- Wednesday - FOMC Minutes, Housing Starts, Industrial Production
- Thursday - Jobless Claims, Philadelphia Fed Survey
- Friday - N/A
Where are Mortgage Rates Now?
We’re in a fast moving market with lots of volatility that can come into play at any given time of the day, depending on which news stories are moving the market. This means rates can and do change many times per day. For up to the minute mortgage rate quotes, please call us directly or request a rate quote using the form above.
In addition to an up to the minute mortgage rate quote, we can also answer any mortgage related questions you might have. Additionally, we can help you understand which program options there are and which ones make the most sense for your needs.
Tags: Europe, mortgage news, Mortgage Rates
 Mortgage rates improved moderately today, marking a week that has once again brought mortgage rates to new all time historic lows.
News regarding the JP Morgan trading loss of $2 billion dollars has helped rates improve a bit today. Europe has also played a role throughout the week in pushing mortgage rates down as we learn more and more about the issues occurring there. Bad news in Europe is good for mortgage rates in the United States.
All Time Historic Mortgage Rates: Should I Lock?
Right now is a great time to lock in a near historic low mortgage rate. We can not only help you lock in a historically low mortgage rate for your refinance or home purchase, we can also help answer any mortgage questions you might have.
We can also help you understand what loan programs exist and which program makes the most sense for your needs with customized mortgage strategy.
Mortgage Rates: The Week Ahead
There is a slew of economic data coming out next week that have the power to move mortgage rates. The following reports that are being released next week will give market watchers more insight into the health of the US economy and have the power to move the markets: Consumer Price Index, FOMC Minutes, Jobless Claims and Housing Starts.
Tags: Europe, mortgage news, Mortgage Rates
 So far things have been fairly quiet and stable with mortgage rates this week in anticipation for today’s high risk event, The Jobs Report.
Otherwise known as the Non-Farm Payrolls report, the Jobs Report is released on the first Friday of every month and provides analysts and market watchers with very important data about the health of the US employment situation and unemployment rate.
Since jobs are a major engine in the economy that create economic growth, any data related to the health of employment in the US has the power to move markets and mortgage rates.
Disastrous: Jobs Report Data Released
At 8:30 AM EST this morning, Jobs Report data was released showing that in April, 115,000 jobs were created. Wall Street was expecting a number closer to 160,000 new jobs created being created. This is a huge disappointment to the markets, sending mortgage rates downward and marks two straight months of disappointing Jobs Report numbers.
The unemployment rate decreased to 8.1 percent in April from 8.2 percent in March. This is also very bad news. Why? The main reason this number has decreased is because 69,000 people were removed from the labor-force because they have been deemed to have stopped making any attempt to find work, which means they are no longer “unemployed” and have been removed from the unemployment calculation, thus lowering the unemployment rate!
This disappointing data also gives Wall Street more reason to believe the FOMC (Federal Open Market Committee or FED) will have more reason to implement QE3 (a third round of quantitative easing) in the future. A healthy economy has less of a need for QE3 and would likely not see a third round of easing.
Record Low Mortgage Rates: Where Are Rates Now?
In a fast moving market, mortgage rates can change frequently. Even on a slow day mortgage rates may change several times. To get up to the minute mortgage rates, please call us directly or request a rate quote using the form above.
We can also help answer any questions you have about which loan program(s) make the most sense for your needs and put together a mortgage strategy that makes the most sense for your goals.
Tags: jobs report, mortgage news, Mortgage Rates, unemployment rate
 This week has been marked by historically low mortgage rates and one of the tightest trading ranges of the year.
Mortgage rates changed very little throughout the week, ending the week very near to where they started. This means that if you have not already locked in your rate at the current historically low levels, this may be your chance.
GDP (Gross Domestic Product) Data Disappoints
US Gross Domestic Product data for the first quarter of 2012 was released this morning. The data showed a disappointing growth rate of 2.2%, which was below expectations of 2.5%. Negative data like this can exert downward pressure on mortgage rates and will continue to cast doubt on the strength of the economic recovery that market watchers are monitoring.
Analysts are attributing the lower than expected GDP to less corporate investment occurring and less build-up of inventories.
Mortgage Rates and the Week Ahead
As always, market watchers will continue to keep an eye on Europe next week, especially in light of Spain’s recent downgrades. Any negative news coming out of Europe will put downward pressure on mortgage rates in the United States.
There are a handful of reports with the potential to move mortgage rates next week, Monday: Personal Consumption and Expenditures, Wednesday: ADP Employment Change and finally Thursday: Weekly Jobless Claims.
Tags: GDP, mortgage news, Mortgage Rates
 Today the Federal Open Market Committee or FOMC voted on the FED funds rate (the rate at which banks lend money to each other over night) and released it’s thoughts on the state of the economy moving forward. The FOMC voted to keep the target range for the federal funds rate at 0% to 1/4% with only Federal Reserve President dissenting.
The FED funds rate at been at its current level since late 2008.
The FED on the Economy
The FOMC stated that since it last met in March, the economy has been expanding moderately. They also believe that labor market conditions have improved in recent months while the unemployment rate has declined, while remaining elevated. The FOMC sees household spending and business fixed investment continuing to advance but believe the housing sector is still depressed despite some signs of improvement.
The FOMC also referenced mentioned that, “Strains in global financial markets continue to pose significant downside risks to the economic outlook.” This means the FOMC believes that the debt insolvency woes of Europe, specifically Greece, Spain and Italy, continue to pose a risk to the US Economy.
From the FOMC Press Release:
To support a stronger economic recovery and to help ensure that inflation, over time, is at the rate most consistent with its dual mandate, the Committee expects to maintain a highly accommodative stance for monetary policy. In particular, the Committee decided today to keep the target range for the federal funds rate at 0 to 1/4 percent and currently anticipates that economic conditions–including low rates of resource utilization and a subdued outlook for inflation over the medium run–are likely to warrant exceptionally low levels for the federal funds rate at least through late 2014.
How Did the FOMC Meeting Affect Mortgage Rates Today?
Today was volatile with mortgage rates mixed. The problem is that mortgage rates can change many times per day, especially on volatile days like today. To get the most accurate mortgage rate quote, please submit a rate request using the form above or call us directly.
Tags: Ben Bernanke, FOMC, mortgage news, Mortgage Rates
 Last week concluded with mortgage rates moving in an extremely tight trading range, with rates closing the week near all time historic lows. The economic data that was released did little to move the markets and things were fairly quiet on the Europe front.
What’s Moving Mortgage Rates This Week?
Economy
We will see a lot of activity this week in terms of economic data being released that can move mortgage rates. In addition to GDP data for the 1st quarter, reports relating to jobless claims and new home sales will be released.
More importantly, there is a two day FOMC (Federal Open Market Committee) meeting being held, which will be followed by a press conference being held by FED chairman Ben Bernanke. Since there have been more and more signs that the recovery that was believed to be in progress is slower than first thought, the market will be listening intently to any comments coming from the FOMC statement. Any news that indicates the economy is improving can push mortgage rates higher, while any less than good news has the potential to put downward pressure on mortgage rates.
European Debt Crisis
As usual, market watchers will be keeping an eye on Europe this week for any news about potential debt insolvency issues in Spain and Italy. As is the case with any economic news that has the potential to affect the US, good news coming from Europe as the potential to move mortgage rates up, while bad news has the potential to move mortgage rates down.
Economic Calendar for Week of April 23, 2012
- Monday - N/A
- Tuesday - S&P Case-Schiller HPI, New Home Sales, Consumer Confidence
- Wednesday - *FOMC Forecasts, *Chairman Press Conference, Durable Goods Orders
- Thursday - Jobless Claims, Pending Home Sales Index
- Friday - GDP, Consumer Sentiment
Where Are Mortgage Rates Now?
Mortgage rates can change many times per day. To get an up to the minute mortgage rate quote, simply fill out the fast rate quote form above or call us directly.
Not only can we help you get a fast and free mortgage rate quote, but we can also answer any mortgage related questions you might have. Additionally, we can put together a mortgage strategy that makes the most sense for your needs.
Should I lock my rate? This is also a popular question. While the likely answer is yes, please call us directly to get to make sure whether or not locking a mortgage rate in near all time historic lows is the best move for your given mortgage scenario.
Tags: Europe, FOMC, mortgage news, Mortgage Rates
 This week concluded with mortgage rates moving in an extremely tight trading range, still near all time historic lows. There were a few pieces of economic data released this week, but nothing that caused any major movement for mortgage rates.
Market watchers are still keeping an eye on Europe for any news about potential debt insolvency issues in Spain and Italy.
What’s Moving Mortgage Rates Next Week?
We will see some decent activity next week in terms of economic data being released that can move mortgage rates. In addition to GDP data for the 1st quarter, reports relating to jobless claims and new home sales will be released.
Additionally, there is a two day FOMC (Federal Open Market Committee) meeting being held, which will be followed by a press conference being held by FED chairman Ben Bernanke. Any of these events have strong potential to move mortgage rates.
Where Are Mortgage Rates Now?
Mortgage rates can change many times per day. To get an up to the minute mortgage rate quote, simply fill out the fast rate quote form above or call us directly.
Not only can we help you get a fast and free mortgage rate quote, but we can also answer any mortgage related questions you might have. Additionally, we can put together a mortgage strategy that makes the most sense for your needs.
Need to lock in a rate? Call us directly to lock your mortgage rate now.
Tags: Ben Bernanke, Europe, FOMC, mortgage news, Mortgage Rates
 Today, mortgage rates stabilized near the all time historic lows they reached last week. The stock market saw the biggest of the rally of the year yesterday, which moved mortgage rates up a bit. Profit taking in the stock market looks to have played a role in mortgage rates recovering some of the ground lost yesterday.
Forces With the Potential to Move Mortgage Rates This Week
The Europe Factor
Europe and any more signs of potential debt insolvency in Spain and or Italy is the wildcard for market watchers.
Good or bad news coming out of Europe has the potential to move mortgage rates up or down. Look for upward pressure on mortgage rates if good news comes out of Europe and downward pressure on mortgage rates should bad news come out of Europe.
Economic Data
Tomorrow will see the release of the weekly unemployment report from the Department of Labor, the Existing Home Sales report March and the LEI or Leading Economic Indicators report, which is released later in the day.
Market watchers are also awaiting next weeks FOMC announcement, which always has the potential to move the markets and mortgage rates.
Mortgage Rate Quote Questions?
If you’re wondering where mortgage rates are right now, please call us directly or use the rate request form above. Since mortgage rates change many times per day, we can give you an up to the minute quote and even pre-qualify you if necessary.
Have questions about mortgage loan options that will best fit your needs? We can answer any questions you might have in addition to putting together a mortgage strategy that makes the most sense based on your needs.
Tags: Europe, mortgage news, Mortgage Rates
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