Jan 16, 2018Last week mortgage rates rose as equities showed no signs of slowing down the rally that they started with in the new year. This week is a shortened week with the holiday on Monday,
Market Commentary November 27 2017
Nov 27, 2017
Last week mortgage rates fell during the shortened trading week. Existing home sales rose in Oct after underperforming for most of 2017. Oct durable goods were weak, but this came after a very strong Sept (upwardly-revised) and it's is a very choppy series month-to-month, so the market didn’t pay much notice. Mortgages got their direction for the week on Wednesday when the minutes from the Nov FOMC meeting kept Dec tightening on-track but painted a picture of a deeper split at the Fed between those who want to continue to tighten / normalize and those who worry about continuing to raise rates into low inflation.
This week will provide a lot of economic data for the markets to digest. Additionally, Fed Chair nominee Jerome Powell’s confirmation hearing takes place Tuesday. Expectations are for this to go smoothly and will be followed by full Senate approval in the coming weeks. We also have current Fed Chair Janet Yellen’s testimony before the Joint Economic Committee on Wednesday. While few expect this to be much of a game-changing event, it is possible that she may feel less restrained in conveying her own opinions in light of this being her last appearance before Congress.
Economic Calendar for the week of 11/27/2017 to 12/01/2017:
Monday: New Home Sales and Dallas Fed Manufacturing Activity
Tuesday: Wholesale Inventories, Retail Inventories, FHFA House Price Index, S&P CoreLogic 20 City Survey, and Richmond Fed Manufacturing Activity
Wednesday: MBA Mortgage Applications, GDP Annualized (QoQ), Personal Consumption, GDP Price Index, Pending Home Sales, and Beige Book
Thursday: Initial Jobless Claims, Continuing Claims, Personal Income, Personal Spending, PCE Core, Chicago Purchasing Manager Index, and Bloomberg Consumer Comfort Index
Friday:Markit US Manufacturing PMI, ISM Manufacturing, ISM Prices Paid, Construction Spending, and Wards Vehicle Sales