Housing Activity

Raleigh Mortgage Group Uncategorized

The housing data released this week confirmed that the anticipated massive decline in activity in April took place. However, there also were several encouraging signs that a substantial rebound already has begun. Daily volatility in mortgage markets remained low, and the change in rates for the week again was small. In April, existing home sales fell 18% from March to …

Retail Sales Plunge

Raleigh Mortgage Group Uncategorized

The closely watched Retail Sales report released this week showed that consumer spending dropped even more than anticipated in April. Fed Chair Powell repeated the message that the Fed will use all its tools to support the economy. Daily volatility in mortgage markets remained low, and the change in rates for the week again was small. With much of the …

Unemployment Rises

Raleigh Mortgage Group Uncategorized

The closely watched monthly Employment report released this week contained the anticipated levels of historic job losses. Daily volatility in mortgage markets remained low, and the change in rates for the week again was small. Friday’s Employment report revealed a massive loss of 20.5 million jobs in April, which was close to the consensus forecast. The unemployment rate jumped from …

Feds Will Provide Maximum Support

Raleigh Mortgage Group Uncategorized

This week, the unemployment figures continued to rise and the GDP data reflected the slowdown in economic activity due to the coronavirus. US and European central bank meetings produced no significant surprises and had little impact. Daily volatility in mortgage markets remained low, and the change in rates for the week again was small. Since major global central banks have …

Home Sales Decline

Raleigh Mortgage Group Uncategorized

This week, the unemployment figures continued to rise and the home sales data reflected the slowdown in economic activity due to the coronavirus. Congress passed a bill to provide another $484 billion in aid for small businesses, hospitals, and virus testing. Daily volatility in mortgage markets remained low, and the change in rates for the week again was small. Filings …

Consumer Spending Slows

Raleigh Mortgage Group Uncategorized

The coronavirus continued to be the focus for investors. This week’s data on consumer spending and housing starts reflected the anticipated decline in economic activity. Daily volatility in mortgage markets remained low, and the change in rates for the week again was small. Thursday night, President Trump unveiled broad guidelines for a path to relaxing the restrictions which have been …

Fed Expands Lending Programs

Raleigh Mortgage Group Uncategorized

The coronavirus continued to be the focus for investors this week. The biggest economic news was Thursday’s release of the details of the Fed’s plans to provide additional assistance to businesses and local governments. The stock market posted some welcome gains, with the Dow index adding over 2,500 points. For mortgage markets, daily volatility was significantly lower, and the net …

Labor Market Contracts

Raleigh Mortgage Group Uncategorized

Investors remained focused on news about the coronavirus this week. For financial markets, there were two primary changes. First, daily volatility was significantly lower, and the net change in mortgage rates for the week was relatively small. Second, the labor market data more fully reflected the decline in economic activity since the outbreak began. The mortgage market has not been …

More Monetary and Fiscal Stimulus

Raleigh Mortgage Group Uncategorized

Once again, the coronavirus dominated financial market news this week. Both the Fed and the government are taking unprecedented actions to support the economy. Daily volatility remained extremely high, but the net change in mortgage rates for the week was relatively small. On Monday, the Fed announced that it will purchase bonds “in the amounts needed” to support the economy …

Still Focused on Coronavirus

Raleigh Mortgage Group Uncategorized

With Super Tuesday and the key monthly Employment report on the schedule, investors long ago anticipated that this would be a big week. Of course, no one could have foreseen that these events would be almost completely overlooked due to the outbreak of the coronavirus. Once again, this was nearly the sole focus of investors, and rates reached record low …