Mortgage Market Update
July 30-August 3rd, 2018. The week was rife with economic activity that included the release of significant data and a Fed meeting. But other than closing with a slight spike in mortgage rates, it was relatively surprise-free.
In the Fed meeting, officials did state that economic activity "has been rising at a strong rate" since the June meeting. They also pointed out that both business investment and household spending have "grown strongly.” The Fed next meets on September 26, when investors anticipate seeing the third increase in federal funds this year. Core Mortgage Financial keeps up with the mortgage market interest rate trends in order to protect your rate. It's impertive to hire a company that keeps you informed during the mortgage process.
Friday’s Employment report indicated an increase in 157,000 jobs in July, along with 59,000 jobs in prior months. For the year, jobs have increased by an average of 215,000 per month – a significantly higher pace than the 184,000 reported this time last year.
As expected, unemployment decreased from 4.0% to 3.9% and average hourly earnings were up 2.7% more than this time last year.
Additional activity is expected in the week ahead:
- The JOLTS report, which gauges job openings and workforce turnover rates, is expected to be released Wednesday. This is key for Fed officials Fed officials, who use the information as part of surveying labor market strength.
- Wednesday and Thursday Treasury auctions are expected to impact mortgage rates.
- The Consumer Price Index is expected to be released Friday. The monthly inflation report examines the change in price for goods and services. Core Mortgage FInancial will make sure your interest rate is protected for your home loan transaction througout SWFL. Give us a call today for a free interest rate quote!