A Look Ahead For Mortgage Rates This Week : Feb 14, 2011

By
Services for Real Estate Pros with Capital City Mortgage Investments, Inc Since 1994
MARKET COMMENT
Georgia Mortgage interest rates moved higher last week ending FEB 9 2011. The FED's Treasury auctions were mixed. The 3YR auction showed weak foreign demand and resulted in a sell off following the results. The 10YR auction was decent and helped keep things in check while the 30YR auction didn’t move the market much. Weekly jobless claims came in at 383k, lower than the expected 410k. That data pressured rates higher. There were some positive movements Friday morning following weaker than expected consumer sentiment data but not enough to recover all the earlier losses. Mortgage rates ended the week higher by a disappointing 3/8 of a discount point.

The Treasury will have a 30Y TIPS auction Thursday afternoon. If demand falters rates could be adversely affected.  LOCK in mortgage rate in before Thursday if you can.

A LOOK AHEAD FEB 14 2011 FOR GEORGIA MORTGAGE RATES
Economic
Indicator
Release
Date and Time
Consensus
Estimate
Analysis
Retail Sales Tuesday,
Feb. 15,
8:30 am, et
Up 0.5% Important. A measure of consumer demand. A smaller than expected increase may lead to lower mortgage rates.
Housing Starts Wednesday,
Feb. 16,
8:30 am, et
495k Important. A measure of housing sector strength. Weakness may lead to lower rates.
Producer Price Index Wednesday,
Feb. 16,
8:30 am, et
Up 0.8%,
Core up 0.1%
Important. An indication of inflationary pressures at the producer level. Weaker figures may lead to lower rates.
Industrial Production Wednesday,
Feb. 16,
9:15 am, et
Up 0.7% Important. A measure of manufacturing sector strength. A lower than expected increase may lead to lower rates.
Capacity Utilization Wednesday,
Feb. 16,
9:15 am, et
75.5% Important. A figure above 85% is viewed as inflationary. Weakness may lead to lower rates.
Consumer Price Index Thursday,
Feb. 17,
8:30 am, et
Up 0.4%,
Core up 0.1%
Important. A measure of inflation at the consumer level. Weaker figures may lead to lower rates.
Weekly Jobless Claims Thursday,
Feb. 17,
8:30 am, et
390k Important. An indication of employment. Higher claims may result in lower rates.
Leading Economic Indicators Thursday,
Feb. 17,
10:00 am, et
Up 0.8% Important. An indication of future economic activity. A smaller increase may lead to lower rates.
Philadelphia Fed Survey Thursday,
Feb. 17,
10:00 am, et
19 Moderately important. A survey of business conditions in the Northeast. Weakness may lead to lower rates.
WORLD RATES

China's central bank raised rates for the third time in four months to help ward off inflation as food and energy costs continue to rise. A drought in China is threatening the wheat crop, which is adding further pressure to commodity prices. Other emerging economies are also fearful of a spike in inflation. Market analysts are expecting Brazil's central bank to raise rates soon. The overnight lending rate there is currently 11.25%. In contrast, the Federal Reserve continues to add stimulus to the US economy keeping rates near zero and buying bonds.

The futures market is now pricing in a near 100% chance the Fed will move rates higher by December. Last week they put the odds of a rate increase at 25%. That is a big change in sentiment in such a short period of time. While interest rates have seen significant increases over the past few months they still remain historically very low. There are no guarantees rates will remain low as recent history has shown.

Posted by

Thanks,

Peter


404-643-4793

 

Providing financing for cities across Georgia including: Acworth, Albany, Alpharetta, Athens, Atlanta, Augusta, Austell, Avondale Estates, Blairsville, Bloomingdale, Blue Ridge, Bogart, Brunswick, Buckhead, Buford, Canton, Carrollton, Cartersville, Chatsworth, Clayton, College Park, Columbus, Commerce, Conyers, Covington, Cumming, Dahlonega,  Dacula, Dalton, Dawsonville, Decatur, Doraville, Douglasville, Duluth, Dunwoody, East Point, Fayetteville, Flowery Branch, Gainesville, Greensboro, Hampton,  Hapeville, Hinesville, Hiram, Jackson, Jefferson, Jonesboro, Kennesaw, Lagrange, Lawrenceville, Lilburn, Lithia Springs, Macon, Madison, Metter, Morganton, Morrow, Newnan, Norcross, Oakwood, Peachtree City, Pooler, Richmond Hill, Riverdale, Rome, Roswell, Sandy Springs, Savannah, Scottdale, Statesboro, Stockbridge, Stone Mountain, St Marys, Sugar Hill, Suwanee, Thomasville, Thunderbolt, Tucker, Tybee Island, Valdosta, Waleska, Warner Robins, Waycross, Wilmington Island, Winder, Woodstock, and many more.

close

This entry hasn't been re-blogged:

Re-Blogged By Re-Blogged At
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the key to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Topic:
ActiveRain Community
Location:
Georgia
Tags:
best lowest georgia fayette fulton gwinnett county mortgage fixed arm rates

Comments 0 New Comment

Anonymous
Post a Comment
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the folder to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Anonymous
Post a Comment
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the tshirt to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Rainer
18,929

Peter Bright

404-643-4793
Ask me a question
*
*
*
Spam prevention

Accessibility option: listen to a question and answer it!

To submit the form,
drag the man to the circle on the side.

Type below the answer to what you hear. Numbers or words, lowercase:

Additional Information