Cherry Creek Mortgage
Straight Stats 19 January 2018

Rates Increase on Mixed Economic Data

Mortgage interest rates increased this past week on mixed economic data.  Economic data stronger than expected included December Industrial Production, December Capacity Utilization, and weekly jobless claims.  Weekly jobless claims fell to their lowest level in 45 years although six states estimated their data.  Economic data weaker than expected included the January New York Fed Empire State Manufacturing Index, the January NAHB Housing Market Index, December Housing Starts, the January Philadelphia Fed Business Outlook Survey, and the University of Michigan Consumer Sentiment Index.  Markets continue to expect higher wages and inflation this year.  Also of note, there is still no continuing resolution for funding the federal government after midnight tonight.  There may be a temporary funding resolution through February 16.

 

The Dow Jones Industrial Average is currently at 25,958, up about 150 points on the week.  The crude oil spot price is currently at $63.96 per barrel, down slightly on the week.  The Dollar weakened versus the Euro and Yen on the week. 

 

Next week look toward Wednesday’s PMI Composite Flash and Existing Home Sales, Thursday’s International Trade, Jobless Claims, and New Home Sales, and Friday’s Durable Goods Orders and first look at Q4 GDP as potential market moving events.