In spite of Friday the 13th and weak June retail sales the stock market continued it march higher. Also despite what we see happening in Raleigh, nationally, housing remains in the dumps. This would normally bode well for mortgage interest rates; however consumer sentiment hit a ten month high, corporate earnings were strong, and demand for fuel continues in the face of the high price of oil. Consequently, mortgage backed bonds ended down somewhat last week and mortgage rates were up slightly.
This week starts the second week of corporate earnings reports. Also, the Consumer Pricing Index (CPI) report will be released on Wednesday along with housing starts and Building permits. And on Thursday the Philadelphia Fed index and the minutes from the June 28th Fed meeting are released. So get ready for another interesting week for mortgage interest rates and as always have your clients remain in close contact with their mortgage professional for updates, analysis, and the best course of action regarding locking.
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