Feb
01

Mortgage Market Trends for week ending January 29, 2010

By

While last week had some economic data released, non-market events seemed to dominate. Fed Chair Bernanke was reconfirmed by the Senate. but with the smallest number of votes in the Fed’s history. This may foreshadow some interesting battles ahead for monetary management in the US in coming months. The Fed also met, leaving interest rates unchanged again. However, its policy announcement confirmed the end dates for a number of market support programs. including a March 31st termination of the Fed’s program of buying mortgage-backed securities. In addition to all this, GDP came in at a brisk 5.7%, Consumer Confidence and Sentiment increased, and existing home sales cratered. Everything seemed to come out in balance, and mortgage rates barely budged.

This week, we may have a bit more focus on economic data with the ISM reports and employment data. With signs pointing toward economic recovery, even a tepid one, a decrease in unemployment and net gain of jobs in January could push mortgage rates upward into next week.

Graph Courtesy from NY Times in an article by Bob Tedeschi January 28, 2010. Data provided by Jeff Carpenter, Director of Finance, GFI Mortgage Bankers, Inc.

Comments are closed.