Economic Reports, Market Overview, Mortgage Rates, Weekly Review
What’s News for Mortgage Rates This Week: August 9th
August 9, 2010 by James K Barath, CMPS · Leave a Comment
Last week it was all about jobs and it wasn’t Steve Jobs.
In case you missed it, last Friday’s Jobs Report showed that 131,000 jobs were lost in the month of July. Even worse was the fact that June’s employment report was revised showing nearly 100,000 more jobs were lost than originally reported.
Where does this leave the economy and the real estate industry?
Without jobs, there will be no consumer spending which accounts for nearly 70% of the economy. Without jobs, consumers lack the confidence to buy big ticket items such as a house. There is definitely no doubt that without jobs, there is no economic recovery.
Even last week it was reported that Personal Savings had increased again. An increase in Personal Savings sounds like a good thing. Unfortunately, an increase in savings means that money is not being spent in the economy.
The economic reports to keep an eye on this week to get a sense of consumer’s willingness to spend will be Retail Sales and the Consumer Price Index (CPI) at the end of the week.
Before these two critical economic reports on Friday, every analyst and arm-chair economist will be listening to what Ben Bernanke and the Federal Reserve board members have to say tomorrow.
There is still much debate on the state of the economy and an economic recovery. The Federal Open Market Committee meeting will hopefully provide keen insight as to the mindset of how and when the Federal Reserve will get us there.
This is What’s News for Mortgage Rates This Week: August 9th.
Quick general rule of thumb when keeping an eye on mortgage rates.
Strong Economic News: $$$ from Bonds —> Stocks = Home Loan Rates Worsen
Weak Economic News: $$$ from Stocks —> Bonds = Home Loan Rates Improve
Want to see what other economic reports might impact home buyers and home refinance options in the coming week? Visti the Mortgage Market Update and check out the Economic Calendar.
About the Author: James K Barath is a Certified Mortgage Planning Specialist, qualified liability advisor and your FHA Home Loan Expert. He is also a graduate of Purdue University, The CMPS Institute, Dale Carnegie Human Relations Course & Napoleon Hill Foundation's PMA Science of Success Class. It's your home and your future. It's his profession and his passion. He is ready to work for your best interest. Contact James Barath today for your Borrow Smart Analysis - the CALM Approach to Borrowing ! His Motto: I Facilitate the American Dream Through Responsible Mortgage Lending and Financial Literacy! 