Important Economic Data
This week brings us the release of only one piece of economic data that I consider important to mortgage rates. In addition there will be two important Treasury auctions. It is another holiday-shortened week with the New Years Day holiday Friday, so the above data may have a heavier impact on trading than usual if it varies greatly from forecasts.
On Tuesday the Conference Board will post its Consumer Confidence Index (CCI) for December: an important release because it measures consumer willingness to spend. Since consumer spending makes up two-thirds of the U.S. economy, any related data is watched closely by market participants and can have a significant influence on mortgage rate direction. Current forecasts are calling for an increase in confidence from November’s reading of 49.5. to a reading of 53.0 for December.
Mortgage Interest rates at 5.00% this week, despite upward market pressure, so I expect rates to rise right after the New Year, probably by .25 – .375%.
The bond market will close at 2:00 PM ET Thursday and all of the U.S. financial markets will be closed Friday in observance of the New Year’s Day holiday. They will reopen for regular hours on Monday morning.
Lock/Float
If I was closing on a Home Mortgage in the next 0 to 15 Days – LOCK
If I was closing on a Home Mortgage in the next 15 to 30 Days – LOCK
If I was closing on a Home Mortgage in the next 30 to 60 Days – FLOAT
If I was closing on a Home Mortgage in the next 60+ – FLOAT
bc@SmarterBorrowing.com 617.771.5021
bc@smarterborrowing.com
617.771.5021
