The most important report will be on Friday with the Unemployment Report. Analysts are predicting that unemployment will go from 9.4% to 9.6%. That would be good for the bond market therefore good for mortgage interest rates. If the unemployment rate is lower, then we could see a raise in mortgage interest rates on Friday.

The other important reports will start on Monday with the January’s Personal Income which gives us consumers’ ability to spend and current spending habits. Remember, consumer spending makes up two-thirds of our economy. Traders are looking for a 0.06% and if it is higher it can move mortgage interest rates higher.

Tuesday, we have the index that reports on manufacturers sentiment, Supply Management. This reports on what manufacturer’s  executives feel about their  business conditions as to whether our economy is getting better or worse.  

Employee Productivity and Costs Data for the 4th Quarter is on Thursday. This report deals with cost of the production and how it relates to capital input and labor costs.

Each of these reports can move the market up or down along with global events. With the Mideast and especially Egypt dealing with riots, protests, and overturning of governments, this could have an effect on the markets in regards to the cost of oil.

You can read a more in depth report about a review of last week’s happenings, this coming weeks’ reports, and a video on “Tax Planning” in this week’s MMG Weekly Report.

As always, please feel free to contact me with your questions or concerns whether it be about your particular mortgage financial situation or more information about how the bond market affects mortgage interest rates.

To an inspired day and week,

Betsy Moore
Mortgage Advisor
MLO# 118165
206-331-2749

Though this week is a busy one for economic reports only a few can and might move the market. But remember, other global news can spook the market.

Tuesday besides the FOMC meeting, we will get the Consumer Confidence Index. This is moderate to high importance report. It indicates how confident the consumer is in their own financial situation, whether they will be making any big ticket item purchases, and the economy as a whole.

Friday will see four economic reports being released but the most important one will be the Gross Domestic Product for the 4th Quarter of 2010. This is important as it tells us if the economy has been recovering and growing. A weaker report will be good for the bond market and therefore mortgage interest rates. A good report which is stronger than the expected 3.8% growth will have the exact opposite effect on the bond market and therefore mortgage interest rates.  

The other report on Friday that can affect mortgage interest rates will be the 4th Quarter Employment Cost Index. That measures employers cost of employees’ wages and benefits. A good report can indicate inflation which is bad for the bond market.

And on top of these important reports, the Treasury will be auctioning off 5-year and 7-year Treasury Notes respectively on Wednesday and Thursday. If these are well received then we can see a raise in mortgage interest rates in the afternoon on both days. If not, then lower interest rates.

In this week’s MMG Weekly Reportis an article on the new “driving” rules set forth by the IRS as well as more indepth information about last week and the economic reports that will be released this week.

As always, please feel free to contact me with your questions or concerns whether it be about your particular mortgage financial situation or more information about how the bond market affects mortgage interest rates.

To an inspired day and week,

Betsy Moore
Mortgage Advisor
MLO# 118165
206-331-2749

Though we will start the week out on Monday with New Home Sales which is expected is be up a bit which shouldn’t affect mortgage interest rates since the report only tracks about 15% of the new home sales. But if it is up more, it could affect interest rates.

Tuesday will start the bigger news in Consumer Confidence Index. This report tells us whether consumers, us, are confident about their own financial situation which translates to will we spend money on big ticket items. This report is important to the economy as consumer spending which has been tight over the last two years makes up two-thirds of our economy. In other words, if we don’t spend, the economy isn’t going to grow and we won’t pull out of the recession fully. Quite a catch-22.

Wednesday, we have Durable Goods  which gives us an indication of manufacturing strength.  The traders expect an upward tick in this report from May to June.

Thursday, we have the all important Initial Jobless Claims. Jobless Claims keep going up instead of down. And with the new extension on unemployment benefits, the outlook still isn’t looking as rosy as we would all like it to be.

And then Friday, we have Gross Domestic Products (GDP) and Consumer Sentiment Index. GDP will reflect 2nd Quarter and is the sum of what we have produced for both service and products. It indicates our economic activity and whether we had good growth during that time. This report can move the market one way or the other. Consumer Sentiment Index will reveal our optimism on our own financial situation.

Besides these reports, the US  Treasury Department will be auctioning off $104 Billion in 2-year notes, 5-year notes and 7-years notes Tuesday, Wednesday and Thursday, respectively. Depending on how well these auctions do, it can affect mortgage interest rates.

You can read about all of this in this week’s MMG Weekly as well as an article from Kiplinger on “10 Things We Overpay For:You Can Save Big by Buying Cheap Alternatives Instead“.

As always, I’ll be following these and more so that I am up on the news that affects mortgage interest rates.

You can also check out the Daily Rate Lock Advisory each day. This report normally comes out around 10am. 

I also will report daily on twitter @mmtgsolutions on the mortgage interest rates and what to expect for the day. If one of these reports moves the market in a significant manner, I’ll write about it here.

Please remember, I welcome your comments to this and my other posts.

To an  inspiring week,

Betsy Moore

206-331-2749

     So what is in store for us? First off will be the one of two Treasury Auctions on Tuesday when the 10 year Notes will be sold. Retails Sales and the FOMC meeting minutes will follow on Wednesday along with the second Treasury auction-30 year Bond. 

     Retail Sales are important as that indicates what the consumer is spending. Consumer spending makes up two thirds of our economy so that data is watched very closely. Experts feel that sales will be about 0.2% lower than last month’s. Any large decline can trigger a bond rally, lowering mortgage interest rates indicating that the economy is not as strong as hoped fur.

      FOMC meeting minutes which are released later on Wednesday will be closely scrutinized for any wording that would indicate what the Fed may do in the near future as to raising the short term interest rates and how they feel the economy is coming along.  

     Thursday, we have the all important June Producer Price Index and the Core Producer Price Index along with June’s Industrial Production data. All three of these are important as they are an indication to inflationary pressures at the producer level. No change is good for bonds and a decline is even better for bonds.

     And on Friday, the Consumer Price Index (CPI) and Consumer Sentiment are released. The CPI and Core CPI measures the inflation at the consumer level while the Consumer Sentiment indicates how the consumers, us, feel about our own financial situation. If we are comfortable and confident, we are more apt to purchase bigger ticket items.

      So with a full house of economic reports being released we could see some jitters in mortgage interest rates. This will result in rates moving up and down though I don’t feel that we will have big leaps upward.

       You can read more about this and watch a video from the Kiplinger’s report about “Home Energy Audit” in this week’s MMG Weekly Report.

       As always, I’ll be following these and more so that I am up on the news that affects mortgage interest rates.

      You can also check out the Daily Rate Lock Advisory each day. This report normally comes out around 10am.

      I also will report daily on twitter @mmtgsolutions on the mortgage interest rates and what to expect for the day. If one of these reports moves the market in a significant manner, I’ll write about it here.

      Please remember, I welcome your comments to this and my other posts.

To an  inspiring week,

Betsy Moore

206-331-2749

     Besides this debate, the first part of the week will be fairly quiet. Wednesday and Thursday will be the newsy days. Wednesday gives us Producer Price Index, Housing Starts and Building Permits while Thursday will be Consumer Price Index and Initial Jobless Claim Report.

     Most troubling is the Initial Jobless Claim Report as those claims are remaining high. Last week, the Initial Jobless Claim Report reported that an additional 5.13 million people claimed Emergency Unemployment Compensation-benefits that last longer than the normal 20 weeks. These last up to 99 weeks in total.

     Last week, we saw global investors finding safe haven in US Bonds. But as the Euro stabilizes, investors and traders can start reversing their trades which will cause mortgage interest rates to rise again. Balancing this May’s Job Report and Retail Sales Report showed a decline which only indicates how fragile our own economy still is.

     In all, we are still walking a tight rope as we climb out of this slow recovery. A false step, mounting debt, stubborn high umemployment  and tightening credit can all have an effect as to which way this economy will go.

     You can read about all of this and more in this week’s MMG Weekly Review as well as a great article on “Six Travel Scams to Avoid.”

      As always, I’ll be following these and more so that I am up on the news that affects mortgage interest rates.

      You can also check out the Daily Rate Lock Advisory each day. This report normally comes out around 10am.

      I also will report daily on twitter @mmtgsolutions on the mortgage interest rates and what to expect for the day. If one of these reports moves the market in a significant manner, I’ll write about it here.

      Please remember, I welcome your comments to this and my other posts.

To an  inspiring week,

Betsy Moore

206-331-2749

     Along with this news, we had good news from the inflation front. Consumer Price Index and Producer Price Index came in lower than expected showing that inflation is not an issue at the moment. But remember, inflation will eventually raise its ugly head.

     This, of course, helped the bond market and mortgage interest rates. And whether this will continue is any one’s guess. Friday, the stock market did rebound and did gain some of their losses back.  

     This week, we have several important economic reports being released that can move the market as well as a new round of Treasury auctions to the tune of $113 Billion of 2, 5, and 7 year bonds.

     The most important day will be on Friday which has Chicago PMI and Personal and Core Consumption for April and Year over Year. Other news that can affect the markets will be on Monday, Existing Home Sales; Tuesday, Consumer Confidence; Wednesday, New Homes Sales; Thursday, Initial Jobless Claims. And let’ s not forget, Europe.

      You can read about this and more in detail in this week’s MMG Week in Review as well as “Insuring a Smart and Safe Vacation”.

      As always, I’ll be following these and more so that I am up on the news that affects mortgage interest rates.

      You can also check out the Daily Rate Lock Advisory each day. This report normally comes out around 10am.

      I also will report daily on twitter @mmtgsolutions on the mortgage interest rates and what to expect for the day. If one of these reports moves the market in a significant manner, I’ll write about it here.

      Please remember, I welcome your comments to this and my other posts.

To an  inspiring week,

Betsy Moore

206-331-2749

      The Euro zone is still dealing with Greece’s economic woes and along the way, Spain, Italy and Portugal also are experiencing economic stability. This news had money flowing into the bond market as the European Central Bank unveiled their own TARP stimulus package to the tune of $955 Billion to help these countries. Whether this will just be a band-aid or whether these countries will right their economic houses only time will tell. Let’s hope that it is the latter.

      Also in the news last week was the growing concern over China’s possible inflation though their government has been trying to stem that tide.

      All this news affects our economic future. Though it will be cheaper to fly to Europe, our corporations that are global will feel it in their bottom line as our products will be cheaper to purchase over in Europre. And China’s exports to us will be more expensive causing inflation in our country.

      This week there will be two important inflation reports released. On Tuesday and Wednesday, we will get Producer Price Index and Consumer Price Index. Both of these can impact the bonds and home loan rates.

      Tuesday will also bring Housing Starts and Building Permits Reports. And of course, on Thursday we have Initial Jobless Claims. Those numbers are still high and even more troubling is the additional 5.13 Million Americans claiming Emergency Unemployment Compensation which can last up to 99 weeks!!

      You can read about this in detail in MMG Weekly as well as an interesting article on “Remodeling Your Bathroom: A Project Worth Investing In”.

      As always, I’ll be following these and more so that I am up on the news that affects mortgage interest rates.

      You can also check out the Daily Rate Lock Advisory each day. This report normally comes out around 10am.

      I also will report daily on twitter @mmtgsolutions on the mortgage interest rates and what to expect for the day. If one of these reports moves the market in a significant manner, I’ll write about it here.

      Please remember, I welcome your comments to this and my other posts.

To an  inspiring week,

Betsy Moore

206-331-2749

     And dont’ forget that ending this month is the 1st Time HomeBuyer Tax Credit program. Please, if you are a first time home buyer, don’t miss out on this. It is a dollar for dollar amount. You can read more about this in First Time HomeBuyer’s Tax Credit post.

     Also in the news last week was the all important Jobs Report. In March, we added 162,000 jobs with about 40,000 of them being Census Jobs. These Census Jobs are only for about 3-4 months. While it is good news that we are adding jobs, the Unemployment Rate stayed at 9.7% while the unemployment overall rose to 16.9%. Those numbers include the full time worker that has either accepted part time or has completely given up. On top of this, Average Hourly Wages is down by 0.1%.

    This week we start off with Monday: Pending Home Sales, Tuesday: FOMC Meeting Minutes, Thursday: Initial Jobless Claims.

    It should be a rather quiet week except for the $82 Billion in Treasuries to be auctioned. These will have longer maturies similar to Mortgage Backed Securities so this could cause volatility in the marketplace.

     You can read about this in more depth at MMG Weekly as well as on how to ”Boost Your Savings…Without Hardly Trying.”

     You can also check out the Daily Rate Lock Advisory each day. This report normally comes out around 10am.

     And as always, I will report daily on twitter @mmtgsolutions on the mortgage interest rates and what to expect for the day. If one of these reports moves the market in a significant manner, I’ll write about it here.

     Please remember, I welcome your comments to this and my other posts.

To an  inspiring week,

Betsy Moore

206-331-2749

     The housing industry has been slow to recovery in this recession. And with Building Permits and Housing Starts down for February, this part of the economy doesn’t seem to be pulling out. The Fed is now nearing the end, March 31, 2010, on their Mortgage Backed-Securities (MBS) purchasing program. They have purchased almost $1.25 Trillion in MBS. The Fed has stated repeatedly over the their last few meetings that they won’t continue with this program.

      And though the Fed has always stated that they will continue to monitor the housing situation, they did add: “will employ its policy tools as necessary to promote economic recovery and price stability” to this FOMC statement. This some feel leaves the door open for the Fed to step back into purchasing MBS if the housing industry falters.

      The concern over the Fed’s exit on purchasing MBS is that mortgage interest rates will climb. This in turn will depress the housing market more. So far we haven’t seen a climb yet in mortgage interest rates as we close in on March 30, 2010.

      Inflation which has been a concern with traders and economists over the last few days due to ever expanding debt and increase spending from the government doesn’t seem to be an issue with the Fed.

     The bond market ended up for the day. Tomorrow’s Producer Price Index and the Core Producer Price Index will be the released and will give us another read on inflation.

     And as always, I will report daily on twitter @mmtgsolutions on the mortgage interest rates and what to expect for the day. If one of these reports moves the market in a significant manner, I’ll write about it here.

     Please remember, I welcome your comments to this and my other posts.

To an  inspiring week,

Betsy Moore

206-331-2749

     And with the FOMC meeting this week, economists will be dissecting every word of their prepared statement on this Tuesday at around 2pm EST.

     This week is heavy in economic reports. The manufacturing sector will start on Monday with three reports being released. Tuesday brings the FOMC prepared statement as well as Building Permits and Housing Starts. Producer Price Index and Core Producer Index will be released. And Thursday brings us the Core Consumer Price Index as well as Initial Jobless Claims.

     The FOMC and Core Consumer Price Index can have a major impact on the mortgage interest rates depending on what these reports tell us.

     You can read in detail about these reports as well as view a short video on “5 Ways to Get Out of Debt Faster” in this week’s MMG Week in Review.

     You can also check out the Daily Rate Lock Advisory each day. This report normally comes out around 10am.

     And as always, I will report daily on twitter @mmtgsolutions on the mortgage interest rates and what to expect for the day. If one of these reports moves the market in a significant manner, I’ll write about it here.

     Please remember, I welcome your comments to this and my other posts.

To an  inspiring week,

Betsy Moore

206-331-2749