By Jessica Shanahan, Premier Lending LLC adapted from the Shirmeyer Rate Market Report. Mortgage interest rates improved this past week as stocks continue to lose ground on concerns about oil prices and China’s economy. Global equities have lost $ 5.6 trillion in value in 2016. U.S. economic data was mostly weaker than expected. Economic data weaker than expected included weekly jobless claims, December Export Prices, the December Producer Price Index, December Retail Sales, the January New York Empire State Manufacturing Index, December Industrial Production and Capacity Utilization, and November Business Inventories. Industrial Production was down 1.8 year over year, its fastest pace of decline since May 2008 and a level that has usually produced a recession. Business Inventories had their biggest decline since September 2011. Also of note, the Treasury auctioned $ 58 billion of 3 Year Notes, 10 Year Notes, and 30 Year Bonds which were met with strong demand. Global weakness is calling into question the Fed’s plan to increase rates four times this year. It appears unlikely that the Fed will increase rates at either its January or March FOMC Meetings. The Dow Jones Industrial Average is currently at 15,974, down over 350 points on the week. The crude oil spot price is currently at $ 29.49 per barrel, down over $ 3 per barrel on the week. The Dollar weakened versus the Euro and Yen on the week. Next week look toward Tuesday’s Housing Market Index, Wednesday’s Consumer Price Index (CPI) and Housing Starts, Thursday’s Jobless Claims and Philadelphia Fed Business Outlook Survey, and Friday’s Existing Home Sales as potential market moving events. U.S. markets are closed on Monday for Martin Luther King Jr. Day. Jessica Shanahan [email protected] Apply online at: http://premierlends.com/apply-now/ 720-833-7964 Office 970-270-2479 Cell 720-438-3993 eFax NMLS License: 1127723 MLO License: 100048262
RE/MAX of Boulder Real Estate Blog
* Article originally posted on RE/MAX Boulder website at http://www.boulderco.com/blog/
