|
Serving Oakland, San
Leandro , San Lorenzo, Castro Valley, Hayward - and the surrounding areas
|
|
|
Mortgage
Update
Mortgage
Update - Week of 10/02/06
Rate
Probability: Sideways to
Lower
Last
week, rates ended unchanged after a contradicting week of economic
releases. However, all eyes are focused on this week's blockbuster reports
that will likely steer rates for the next several weeks. So can
you expect rates to improve, remain steady, or go higher?
Last week, bond traders and investors were confronted with several reports
that just didn't seem to make much sense. New Home Sales posted
a slight increase, Existing Home Sales continued to decline. Durable
Goods Orders - Generally bigger ticket items that last longer than three
years - came in very weak, suggesting sales are slowing down due to the
higher cost of financing - but The Purchasing Manager's Index - which
rates the health of the Manufacturing sector, which manufactures these
products - was surprisingly strong. Personal Income and Spending came in
lower than expected - however Consumer Confidence and Sentiment reports
were very positive. This "see-saw" of reports led to a volatile
market, however in the end rates remained where they began the week.
This week's economic calendar includes more news on Manufacturing, however
the
spotlight report is the Jobs Report on Friday, which is likely to
determine the course of rates for the next several weeks. One
entry of note not on the calendar is a speech by Fed Chairman Ben Bernanke
on Wednesday.
The bottom line - If the economic reports continue to show a slowdown,
rates may slightly improve further.
- Monday, October 02,
2006 - The Bond Rate Monitor
Courtesy of:
Robert
and Sophia Reyes Team
Home Loan Consultants
Countrywide Home Loans
510-387-7944 mobile (Sophia)
sophiareyes@yahoo.com
510-387-3890 mobile (Robert)
|
