Tri-Valley Mortgage News

Cari Anderson's East Bay Mortgage Update for August 2nd 2010

Economic News:  The Stock Market has started off strong today and taken a bit of the wind out of the sails of the Bond Markets.  This morning started with the release of the ISM Manufacturing Index. (The Institute for Supply Management surveys 300+ companies on business conditions with respect to hiring, new orders, production, inventories, etc).  The ISM Index came in at 55.5 and was better than consensus but the slowest rate of the year.  Even though the manufacturing sector shows a bit of a slowdown the markets liked the report as it was coupled with the better than expected Construction Spending data.

Mortgage Markets:   The yield on the 10 Year Note is currently losing a little ground with the strong equity markets and is trading at 2.948%.  In addition, the Mortgage Backed Securities are a touch weaker today.  If you are in the process of purchasing or refinancing rates are currently range bound and are at terrific levels.

This Week's Reports:  Monday:  ISM Manufacturing Index.  Tuesday:  Personal Income & Outlays, Pending Home Sales Index.  Wednesday:  ADP Employment Report.  Thursday:  Jobless Claims.  Friday:  Employment Situation.

Current Mortgage Rates

Stay tuned for the Next East Bay Mortgage Update...

Cari Anderson's East Bay Mortgage Update for July 16th 2010

Economic News:  Yesterday's Producer Price Index (PPI) came in lower than expected influenced by a drop in the food & energy prices.  The PPI inflation fell .50% on top of a .30% drop we experienced in May. Weekly Jobless Claims fell 29,000 to 429,000 which is good news.  On the other hand continuing claims rose by 247,000 to 4.681 million.  Industrial Production results were at the high end of consensus but were a little muted.  This mild slowdown comes on the heels of gains we have experienced over the past year.  Today's Consumer Price Index (CPI) showed a third consecutive decline led mainly by lower energy costs and, taken with the PPI data, shows no inflation in the pipeline at this time.  Finally, Consumer Sentiment came in well below expectations with a reading of 66.5 which is the lowest since March of 2009.  The recent declines in Consumer Sentiment have been partially attributed to the effects of the gulf oil spill and we can only hope that the cap which has stopped the flow of oil will be a success.

Mortgage Markets:   The yield on the 10 Year Note has broken back below the 3.00% level and is currently trading at 2.94%.  In addition, the Mortgage Backed Securities are rallying on the weak economic data and we are seeing mortgage price changes for the better this morning.  If you are in the process of purchasing or refinancing rates remain at terrific levels.

Next Week's Reports:  Monday:  Housing Market Index.  Tuesday:  Housing Starts. Thursday:  Jobless Claims & Existing Home Sales.

Current Mortgage Rates

Stay tuned for the Next East Bay Mortgage Update...

Beginning of the Week Update

Economic News:  The Industrial Production numbers increased mainly due to higher utilities output relating to the weather.  Last week did not give us much market moving data but this week will.  Keep a close eye on the Consumer Price Index (CPI) and the Producer Price Index (PPI).  These will both give us the near term view of the inflation picture.

Mortgage Markets:  The 10 year note is trading around 3.70% and has pricing about .125 better in fee from Friday's closing.  The Mortgage Backed Security Market is stable and we now have two weeks until the FED ceases the MBS purchasing program.  If you are refinancing or closing on a new home in the next 21 days now is a good time to consider locking in your rate.

Upcoming This Week:  Monday:  Housing Market Index.  Tuesday:  Housing Starts, FOMC Meeting Announcement.  Wednesday:  Producer Price Index.  Thursday:  Consumer Price Index, Jobless Claims.