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Lake Tahoe Home Loans and Lake Tahoe Mortgage Loan Rates – October 30, 2013

Lake Tahoe Home Loans, Lake Tahoe Home Loan Rates, Lake Tahoe Mortgage Loans, Lake Tahoe Mortgage Loan Rates, and Lake Tahoe Mortgage Rates:

Wednesday’s bond market has opened in positive territory ahead of today’s Fed meeting. The stock markets are calm as they wait for this afternoon’s news also with the Dow and Nasdaq just a point or two from yesterday’s closing levels. The bond market is currently up 5/32, which should improve this morning’s mortgage rates by approximately .125 of a discount point.

This morning’s only relevant economic data was September’s Consumer Price Index (CPI) at 8:30 AM ET. The Labor Department announced that the overall CPI reading rose 0.2% while the more important core data rose 0.1%. The overall reading was slightly higher than expected but the core reading that carries the most weight pegged forecasts, indicating no surprise inflationary pressures at the consumer level of the economy. That means we can consider the data neutral for the bond market and mortgage pricing.

Yesterday’s 5-year Treasury Note auction actually went very well with several benchmarks pointing towards a strong level of investor demand. That allows us to remain fairly optimistic about today’s 7-year Note sale that has a term that is closer to mortgage-related bonds than yesterday’s auction. Another decent sale should help boost bond prices across the board, possibly leading to a slight improvement in mortgage rates early this afternoon. Results will be posted at 1:00 PM ET.

However, traders will be much more focused on today’s FOMC meeting adjournment at 2:00 PM ET. It is widely expected that Chairman Bernanke and friends will leave key short-term interest rates alone and the general consensus is that they will not reduce the amount of monthly bond purchases at this meeting either. Although, analysts and traders will certainly be looking at the post-meeting statement for an indication of when they may start tapering and if the Fed feels the government shutdown earlier this month had a noticeable impact on the overall economy or altered their economic and/or interest rate predictions.

Lake Tahoe Home Loans and Lake Tahoe Mortgage Loan Rates – October 29, 2013

Lake Tahoe Home Loans, Lake Tahoe Home Loan Rates, Lake Tahoe Mortgage Loans, Lake Tahoe Mortgage Loan Rates, and Lake Tahoe Mortgage Rates:

Tuesday’s bond market has opened relatively flat after this morning’s important economic data gave us mixed results but no significant surprises. The stock markets are not far off the same path with the Dow up 34 points and the Nasdaq up 1 point. The bond market is currently down 2/32, which should keep this morning’s mortgage rates at yesterday’s levels.

The Commerce Department gave us the first of this morning’s three economic reports. They announced at 8:30 AM ET that September’s Retail Sales fell 0.1% last month as analysts were expecting. However, a secondary reading that excludes more volatile auto transactions showed a 0.4% rise in retail-level sales when only a 0.2% increase was forecasted. This indicates that consumers spent more than many had thought if auto sales are ignored, making the data slightly negative for the bond market and mortgage rates.

September’s Producer Price Index (PPI) was also released at 8:30 AM ET. The Labor Department said the overall index fell 0.1% while the core data rose 0.1%. The overall reading was weaker than forecasts, which is good news for long-term securities such as mortgage-related bonds. Unfortunately, more weight is given to the core data because it excludes more volatile food and energy prices, leaving more stable to work with. Analysts were calling for a 0.1% increase in the core data. Therefore, we should consider these results neutral-to-slightly positive for the bond and mortgage markets.

The final economic release of the morning came from the Conference Board, who posted their Consumer Confidence Index (CCI) for October at 10:00 AM ET. It came in at 71.2, below the 74 that was forecasted and well short of September’s revised reading of 80.2. This means that surveyed consumers were less optimistic about their own financial situations this month than many had thought and much less than they were last month. Both are good news for the bond market and mortgage rates because waning confidence means consumers are less likely to make a large purchase in the near future, helping to limit overall economic growth.

We also have the first of this week’s two Treasury auctions that have the potential to affect bond trading and mortgage pricing later today. That would be the 5-year Treasury Note sale that will be followed by a 7-year Note auction tomorrow. If these sales are met with a strong demand from investors, particularly tomorrow’s auction, bond prices may rise during afternoon trading. That could lead to improvements in mortgage rates shortly after the results of the sales are posted at 1:00 PM ET each day. But a lackluster investor interest, especially from international investors, may create selling in the broader bond market and lead to upward revisions to mortgage rates during afternoon trading.

There is only piece of economic data being posted tomorrow, but it is very important to the bond market. September’s Consumer Price Index (CPI) will be released at 8:30 AM ET that measures inflationary pressures at the very important consumer level of the economy and is one of the most important reports that the bond market gets each month. Analysts are expecting to see a rise of 0.1% in the overall index and an increase of 0.1% in the core data reading. A larger than expected increase in the core reading could raise inflation concerns, pushing bond prices lower and mortgage rates higher. Inflation is the number one nemesis of the bond market because it erodes the value of a bond’s future fixed interest payments, so when inflation is a threat, even down the road, bonds sell for discounted prices that push their yields higher. And since mortgage rates tend to follow bond yields, this leads to higher rates for mortgage borrowers.

This week’s FOMC meeting is a two-day meeting that began today and adjourns tomorrow afternoon. There really is no possibility of the Fed changing key short-term interest rates this week. But market participants will be looking at the post-meeting statement for any indication of a change in Fed sentiment or possibly further development on tapering of their current bond buying program. Possible effects the government shutdown had on the economy will also be of interest to the markets. The meeting will adjourn at 2:00 PM ET tomorrow, so look for any reaction to the statement to come during afternoon hours.

Lake Tahoe Home Loans and Lake Tahoe Mortgage Loan Rates- October 28, 2013

Lake Tahoe Home Loans, Lake Tahoe Home Loan Rates, Lake Tahoe Mortgage Loans, Lake Tahoe Mortgage Loan Rates, and Lake Tahoe Mortgage Rates

Monday’s bond market has opened down slightly partly as a result of stronger than expected economic news. The stock markets are starting the week uneventfully with the Dow down 8 points and the Nasdaq up 2 points. The bond market is currently down 4/32, which will likely push this morning’s mortgage rates approximately .125 of a discount pint higher than Friday’s morning pricing.

Today’s only economic data worth watching was September’s Industrial Production report at 9:15 AM ET. It revealed a 0.6% increase in output at U.S. factories, mines and utilities last month. This was a larger increase than the 0.3% that forecasted and the largest monthly upward move in 7 months, indicating that the manufacturing sector may have been stronger than many had thought. That would make the data negative for the bond market and mortgage rates, but fortunately the data is considered to be only moderately important and has had a minimal impact on today’s rates.

Tomorrow has the bulk of this week’s economic data with three reports scheduled for release that are likely to influence mortgage rates. The first is September’s Retail Sales report at 8:30 AM ET that measures consumer spending. This data is very important to the markets because consumer spending makes up over two-thirds of the U.S. economy. Therefore, any related data is watched closely. If we see weaker than expected readings in this report, the bond market should respond favorably and mortgage rates should drop tomorrow morning. However, stronger than expected sales would fuel optimism about the economy and would likely lead to a stock rally that hurts bonds prices and pushes mortgage rates higher. Current forecasts are calling for a 0.1% decline in retail-level sales, meaning consumers spent a little less last month than they did in August. Good news for the bond market and mortgage pricing would be a larger decline in sales.

September’s Producer Price Index (PPI) is the second key report of the day, also at 8:30 AM ET. This is one of the two very important inflation readings we get each month. The index measures inflationary pressures at the producer level of the economy. Analysts are expecting to see a 0.2% increase in the overall index and a 0.1% rise in the core data reading. The core data is the more important of the two because it excludes more volatile food and energy prices. A larger than expected increase could raise concerns in the bond market about future inflation, leading to higher mortgage rates tomorrow morning. However, weaker than expected readings should result in bond market strength and lower mortgage pricing.

October’s Consumer Confidence Index (CCI) at 10:00 AM ET is the final report of the day. This Conference Board index gives us a measurement of consumer willingness to spend. It is expected to show a drop in confidence from last month’s 79.7 reading. That would mean that consumers felt a worse about their own financial and employment situations than last month, indicating they are less likely to make large purchases in the near future. That would be good news for the bond market because consumer spending makes up a significant part of our economy. As long as the reading doesn’t exceed the forecasted 74, we will likely see the bond market react favorably to this report.

Tomorrow also has the first of this week’s two Treasury auctions that have the potential to affect bond trading and mortgage pricing. The first is tomorrow’s 5-year Treasury Note sale, followed by Wednesday’s 7-year Note auction. If those sales are met with a strong demand from investors, particularly Wednesday’s auction, bond prices may rise during afternoon trading. This could lead to improvements to mortgage rates shortly after the results of the sales are posted at 1:00 PM ET each day. But a lackluster investor interest may create selling in the broader bond market and lead to upward revisions to mortgage rates.

Overall, it appears tomorrow or Wednesday could be the most active day for mortgage rates due to the importance of the economic data being posted and the adjournment of the FOMC meeting, while Thursday will probably be the lightest. The importance of Friday’s sole report makes it likely to be an active day also, although I suspect the most movement will take place the middle days.

Lake Tahoe Home Loans and Lake Tahoe Mortgage Loan Rates – October 27, 2013

Lake Tahoe Home Loans, Lake Tahoe Home Loan Rates, Lake Tahoe Mortgage Loans, Lake Tahoe Mortgage Loan Rates, and Lake Tahoe Mortgage Rates:

This week brings us the release of six economic reports and two relevant Treasury auctions for the bond market to digest in addition to another FOMC meeting. Most of the data is set for the first half of the week, so we could see plenty of movement in rates the first couple days. The data scheduled this week ranges from moderately to extremely important, so some reports will have a much bigger impact on trading than others. We also need to keep an eye on the stock markets as they can be heavily influential on bond market direction and mortgage rates.

The week kicks off tomorrow with the release of a moderately important manufacturing report. September’s Industrial Production report will be posted at 9:15 AM ET tomorrow, giving us a measurement of manufacturing sector strength by tracking output at U.S. factories, mines and utilities. It is expected to show a 0.3% increase in production output, indicating minor growth in the sector. Good news for the bond market and mortgage rates would be a decline in this data.

There are three reports scheduled for release Tuesday, two of which are very important to the financial and mortgage markets. The first is September’s Retail Sales report at 8:30 AM ET that measures consumer spending. This data is very important to the markets because consumer spending makes up over two-thirds of the U.S. economy. Therefore, any related data is watched closely. If we see weaker than expected readings in this report, the bond market should respond favorably and mortgage rates should drop Tuesday morning. However, stronger than expected sales would fuel optimism about the economy and would likely lead to a stock rally that hurts bonds prices and pushes mortgage rates higher. Current forecasts are calling for a 0.1% decline in retail-level sales, meaning consumers spent a little less last month than they did in August. Good news for the bond market and mortgage pricing would be a larger decline in sales.

September’s Producer Price Index (PPI) is the second key report of the day, also at 8:30 AM ET. This is one of the two very important inflation readings we get each month. The index measures inflationary pressures at the producer level of the economy. Analysts are expecting to see a 0.2% increase in the overall index and a 0.1% rise in the core data reading. The core data is the more important of the two because it excludes more volatile food and energy prices. A larger than expected increase could raise concerns in the bond market about future inflation, leading to higher mortgage rates Tuesday. However, weaker than expected readings should result in bond market strength and lower mortgage pricing.

October’s Consumer Confidence Index (CCI) is Tuesday’s last report. This Conference Board index will be released at 10:00 AM ET and gives us a measurement of consumer willingness to spend. It is expected to show a drop in confidence from last month’s 79.7 reading. That would mean that consumers felt a worse about their own financial and employment situations than last month, indicating they are less likely to make large purchases in the near future. That would be good news for the bond market because consumer spending makes up a significant part of our economy. As long as the reading doesn’t exceed the forecasted 74.1, we will likely see the bond market react favorably to this report.

Wednesday’s only economic data is also very important to the bond market. September’s Consumer Price Index (CPI) will be released at 8:30 AM ET Wednesday. It measures inflationary pressures at the very important consumer level of the economy and is one of the most important reports that the bond market gets each month. Analysts are expecting to see a rise of 0.1% in the overall index and an increase of 0.1% in the core data reading. A larger than expected increase in the core reading could raise inflation concerns, pushing bond prices lower and mortgage rates higher. Inflation is the number one nemesis of the bond market because it erodes the value of a bond’s future fixed interest payments, so when inflation is a threat, even down the road, bonds sell for discounted prices that push their yields higher. And since mortgage rates tend to follow bond yields, this leads to higher rates for mortgage borrowers.

This week’s FOMC meeting is a two-day meeting that begins Tuesday and adjourns Wednesday afternoon. There really is no possibility of the Fed changing key short-term interest rates this week. But market participants will be looking at the post-meeting statement for any indication of a change in Fed sentiment or possibly further development on tapering of their current bond buying program. Possible effects the government shutdown had on the economy will also be of interest to the markets. The meeting will adjourn at 2:00 PM ET Wednesday, so look for any reaction to the statement to come during afternoon hours.

There is no major economic news set for release Thursday, but there is a highly influential report scheduled for late Friday morning. That will come from the Institute for Supply Management (ISM), who will post their manufacturing index for October at 10:00 AM ET. This index measures manufacturer sentiment, which is important because it gives us an indication of manufacturing sector strength or weakness. It is considered to be one of the more important reports we see each month, partly because it is the first report every month that tracks the preceding month’s activity. Friday’s release is expected to show a reading of 55.0, indicating that manufacturer sentiment slipped from September’s level of 56.2. This means fewer surveyed business executives felt business improved during the month than in September, hinting at manufacturing sector weakness. A smaller than expected reading would be good news for bonds and mortgage rates, especially if it drops below the benchmark ! 50.0.

This week also has Treasury auctions scheduled the first three days. The only two that have the potential to influence mortgage rates are Tuesday’s 5-year and Wednesday’s 7-year Note sales. If those sales are met with a strong demand from investors, particularly Wednesday’s auction, bond prices may rise during afternoon trading. This could lead to improvements to mortgage rates shortly after the results of the sales are posted at 1:00 PM ET each day. But a lackluster investor interest may create selling in the broader bond market and lead to upward revisions to mortgage rates.

Overall, it appears Tuesday or Wednesday could be the most active day for mortgage rates and Thursday will probably be the lightest. The importance of Friday’s sole report makes it likely to be an active day also, although I suspect the most movement will take place the middle days.

Lake Tahoe Home Loans and Lake Tahoe Mortgage Loan Rates-Weekly Summary-Markets Reawaken

Lake Tahoe Home Loans, Lake Tahoe Home Loan Rates, Lake Tahoe Mortgage Rates, Lake Tahoe Home Loans and Lake Tahoe Mortgage Loan Rates:

The economic indicators are in the process of repairing themselves from the distortions and damages caused by what began to seem a steady march toward defaulting on our sovereign debt. It is somewhat easy, therefore, to look upon this past week’s numbers as an indication that all is well once again. But it’s not.

 The price of crude oil, for example, suggests that world markets don’t expect a great deal of economic growth in the near-term future. For that apparent reason, they don’t expect demand for fuel (especially crude oil) to grow. And thus the price of a gallon of gasoline at our neighborhood pumps has declined.

 The dollar, meanwhile, is slightly weaker next to several other major currencies, and this is worth watching carefully. There is a significant resistance to the dollar’s strength among many countries—especially China—because of the fact that it was nearly allowed to fall into default. It will be important to see whether the dollar regains its luster or endures a season of distrust (which would show up, most likely, as weakness against other currencies.

 We can take little solace in the tardily-reported Existing Home Sales numbers, though sales this September were a healthy 10.7% higher than they were in September 2012. Indeed, real estate numbers—while not worrisome—haven’t been very inspiring of late, nor have employment numbers. This is not greatly surprising, given all the worries and uncertainties plaguing the emotions of investors and business leaders. Every day, it appears we have to factor a new possibility into our thinking—like the fact that the Fed will probably delay its “tapering” of the support for mortgage-backed bonds.

 Interest rates, meantime, are rearranging themselves, moving back to where they were before the final days preceding a possible default. The short-term rates—represented here, as always, by the 6-month Treasury bill—spiked (or should we say “spooked”) at the last moment, climbing to 0.16%, and the mortgage-length maturities, here represented by the 10-year Treasury note, rose to a commanding 2.75%. Both have fallen back to where they were before the near-default.

 Which leaves us facing yet another fight between politicians not only of different parties but also of very different views and beliefs within the same party—some of whom are already promising another round of intransigence. The American public seems generally weary of the political battle; that may minimize somewhat the chances of the kind of cliffhanger that we’ve seen twice already. On the other hand, it may not.

 It’s hard to keep up, much less to stay ahead of today’s relevant changes. Many are therefore in a holding pattern and are likely to stay there for a while.

Lake Tahoe Home Loans and Lake Tahoe Mortgage Loan Rates – October 25, 2013

Lake Tahoe Home Loans, Lake Tahoe Home Loan Rates, Lake Tahoe Mortgage Rates, Lake Tahoe Home Loans and Lake Tahoe Mortgage Loan Rates:

Friday’s bond market has opened up slightly following the release of somewhat favorable economic news. The stock markets are also showing fairly minor gains with the Dow up 33 points and the Nasdaq up 23 points. The bond market is currently up 5/32, but due to weakness in trading late yesterday we will likely see little change in this morning’s mortgage rates.

The Commerce Department gave us the first of today’s two relevant economic reports. They announced at 8:30 AM ET that new orders for durable goods or big-ticket products rose 3.7% last month, nearly matching forecasts of a 3.5% increase. That was not enough of a variance in this volatile data to cause any concern or joy in the bond and mortgage markets. Although, it is a solid growth number, indicating that the manufacturing sector grew during the month. However, a secondary reading that excludes high cost and more volatile transportation-related orders, such as new airplanes, came in with a 0.1% decline when it was expected to rise 0.3%. Therefore, we should consider the data neutral to slightly positive for the bond market and mortgage rates.

At 9:55 AM ET this morning, the University of Michigan posted their revised Index of Consumer Sentiment for this month. It showed a reading of 73.2 that fell short of the 74.5 that was expected and was a decline from the preliminary reading of 75.2. This means that surveyed consumers were less optimistic about their own financial and employment situations than previously thought, likely due to the government shutdown the first half of the month. That is fairly good news for the bond and mortgage markets because waning confidence usually translates into weaker levels of consumer spending that restricts overall economic growth. Unfortunately, this was a relatively minor miss in a moderately important report, so the impact it has had on this morning’s bond trading and mortgage pricing has been minimal.

Next week is likely to be an active one for the financial markets and mortgage rates. We do get data Monday with the release of September’s Industrial Production report before we head into key readings of consumer spending and inflationary pressures Tuesday and Wednesday. There is also a two-day FOMC meeting and a couple of fairly relevant Treasury auctions the middle part of the week. We then close with a very influential reading of manufacturer sentiment Friday morning. We won’t get October’s Employment report Friday as originally scheduled because the shutdown pushed it back to the following Friday.

Lake Tahoe Home Loans and Lake Tahoe Mortgage Loan Rates – October 24, 2013

Lake Tahoe Home Loans, Lake Tahoe Home Loan Rates, Lake Tahoe Mortgage Loans, Lake Tahoe Mortgage Loan Rates,  and Lake Tahoe Mortgage Rates:

Thursday’s bond market has opened down slightly with stocks in positive ground and despite today’s economic data that showed slightly favorable results. The stock markets are showing early gains with the Dow up 55 points and the Nasdaq up 7 points. The bond market is currently down 3/32, which will likely push this morning’s mortgage rates higher by approximately .125 of a discount point if comparing to yesterday’s morning pricing.

The Labor Department announced early this morning that 350,000 new claims for unemployment benefits were filed last week. This was a decline from the previous week’s revised total of 362,000 initial claims, but higher than the 341,000 that was expected. That indicates the employment sector strengthened a bit last week, however, not as much as many had thought. Therefore, we can consider the data neutral to slightly favorable for the bond market and mortgage rates.

August’s Goods and Service Trade Balance report was also posted at 8:30 AM ET this morning. It revealed a trade deficit of $38.8 billion in August, nearly matching forecasts of $38.6 billion. This data does not usually directly affect bond trading or mortgage rates but does influence the value of the U.S. dollar versus other currencies, which is fairly important to international investors when buying or selling U.S. securities. This morning’s report did not give us enough of a variance to be of any factor in today’s bond trading or mortgage pricing.

Tomorrow has two pieces of economic data that could affect mortgage rates. The Commerce Department will post Durable Goods Orders for September at 8:30 AM ET. This report gives us a measurement of manufacturing sector strength by tracking orders at U.S. factories for big-ticket items, or products that are expected to last three or more years such as appliances, electronics and airplanes. Analysts are currently calling for an increase in new orders of approximately 3.5%. If we see a much larger increase in orders, mortgage rates will probably rise as bond prices fall. On the other hand, a significantly weaker than expected reading should be good news for the bond market and mortgage rates, but this data can be quite volatile from month to month and is difficult to forecast. That means a small variance from forecasts likely will have little impact on tomorrow’s mortgage rates.

The week’s last report comes just before 10:00 AM ET tomorrow when the University of Michigan updates their Index of Consumer Sentiment for this month. This report is moderately important because it helps us measure consumer confidence, which is believed to indicate consumers’ willingness to spend. If consumers are more confident in their own financial and employment situations, they are more apt to make a large purchase in the near future. Since consumer spending makes up over two-thirds of the U.S. economy, any related data is watch closely. Current forecasts show this index falling from the preliminary reading of 75.2 to 74.5, meaning confidence was not as strong this month as previously thought. That would be good news for the bond and mortgage markets.

Lake Tahoe Home Loans and Lake Tahoe Mortgage Loan Rates – October 23, 2013

Lake Tahoe Home Loan Rates, Lake Tahoe Mortgage Rates, Lake Tahoe Mortgage Loan Rates, Lake Tahoe Home Loans, and Lake Tahoe Mortgage Loans:

Wednesday’s bond market has opened in positive territory with nothing of importance scheduled today and stocks showing early losses. The major stock indexes are showing noticeable losses with the Dow down 88 points and the Nasdaq down 40 points. The bond market is currently up 6/32, which should improve this morning’s mortgage rates by approximately .1250 – .250 of a discount point over yesterday’s early pricing.

There is nothing scheduled for release today that is likely to affect bond trading or mortgage rates. Stocks are helping to boost bonds during morning trading with a negative reaction to some earnings data. If stocks extend their current losses, we could see bond prices move higher as the day progresses and possibly a slight improvement to mortgage rates. If they remain near current levels, I suspect rates will follow suit.

Tomorrow has two minor pieces of economic data that we will be watching. The first is the weekly unemployment update from the Labor Department. They are expected to announce that 341,000 new claims for unemployment benefits were filed last week, down from the previous week’s 358,000 initial claims. The higher the number of new claims, the better the news for the bond market and mortgage pricing because rising unemployment claims indicates employment sector weakness. However, since this data tracks only a single week’s worth of new claims, its impact on the markets is usually minimal unless it shows an unexpected spike or sizable drop in filings.

August’s Trade Balance report will also be released early tomorrow morning. It gives us the size of the U.S. trade deficit but is the week’s least important report and likely will have little impact on the bond market and mortgage rates. Analysts are expecting to see a $38.6 billion deficit, but it will take a wide variance from forecasts to directly influence mortgage pricing.

Lake Tahoe Home Loans and Lake Tahoe Mortgage Loan Rates – October 22, 2013

Lake Tahoe Home Loans, Lake Tahoe Mortgage Loans, Lake Tahoe Home Loan Rates, Lake Tahoe Mortgage Rates, and Lake Tahoe Mortgage Loan Rates:

Tuesday’s bond market has opened well in positive territory following the release of September’s employment data. The stock markets are also showing gains despite that same economic data. The Dow is currently up 58 points while the Nasdaq has gained 19 points. The bond market is currently up 20/32, which should improve this morning’s mortgage rates by approximately .250 – .375 of a discount point.

This morning’s big news was September’s Employment report that revealed the unemployment rate slipped to 7.2% and that 148,000 new jobs were added to the economy during the month while average earnings rose 0.1%. The unemployment rate was slightly lower than forecasts but the good news came in the smaller than expected payroll number. Analysts were expecting to see 183,000 jobs and a 7.3% unemployment rate.

Technically speaking, the data gave us mixed readings. However, the payroll number draws more attention so the 35,000 job variance from forecasts makes the news favorable for the bond market and mortgage rates. The government shutdown has not distorted these numbers because they were compiled before the October 1 shutdown date. While 148,000 new jobs does indicate the employment sector was stronger than it was in August, it is still a far slower rate of growth than is believed to be needed to push the unemployment rate down to a level the Fed is comfortable with. Slower payroll growth should equate to the unemployment rate declining at a very slow rate, which should push back the date the Fed will start tapering their current bond-buying program.

Tomorrow doesn’t have anything of relevance scheduled that is likely to influence mortgage rates, so we can expect this afternoon’s trading to possibly impact tomorrow’s early mortgage pricing. Thursday has a couple minor pieces of data now scheduled for release, but neither is considered to be market movers.

Lake Tahoe Home Loans and Lake Tahoe Mortgage Loan Rates-October 21, 2013

Lake Tahoe Home Loans, Lake Tahoe Mortgage Loan Rates, Lake Tahoe Mortgage Loans, Lake Tahoe Mortgage Rates, and Lake Tahoe Home Loan Rates:

Monday’s bond market has opened in negative territory. The stock markets are calm during early trading with the Dow up 2 points and the Nasdaq up 15 points. The bond market is currently down 5/32, which should push this morning’s mortgage rates higher by approximately .125 of a discount point.

The National Association of Realtors gave us this morning’s only relevant economic data with the release September’s Existing Home Sales at 10:00 AM ET. They announced that home resales fell 1.9% last month. The number of sales nearly matched forecasts, but a downward revision to August’s sales means the percentage of the drop was smaller than expected. That makes the data neutral to slightly negative for the bond market and mortgage rates.

There are four more monthly economic reports scheduled for release the rest of the week that may influence mortgage rates. We are also into corporate earnings season, which can heavily influence stock trading and indirectly drive bond trading. If earnings reports start to indicate a general consensus of weaker earnings than what analysts were expecting, stocks should go into selling mode and bonds could benefit as investors seek the safety of government and mortgage bonds.

Tomorrow has the key data of the week with the release of September’s Employment report at 8:30 AM ET. This report was delayed from the first week of the month during the government shutdown. It is extremely important to the financial and mortgage markets because it will reveal the U.S. unemployment rate, number of new payrolls added or lost during the month and average hourly earnings. These are considered to be key readings of the employment sector and will heavily influence trading and even Fed thinking. The ideal scenario for the bond market and mortgage rates is rising unemployment, falling payrolls and a drop in earnings.

If this report gives us weaker than expected readings, bond prices should move higher and we should see lower mortgage rates tomorrow. Although, it is worth noting that the accuracy of the data is likely to be questioned as a result of the shutdown. However, stronger than forecasted readings would be bad news for the bond market and mortgage rates. Analysts are expecting to see the unemployment rate remain at 7.3%, an increase of 183,000 new jobs from August’s level and a 0.2% increase in earnings.

Overall, tomorrow is the most important day of the week with the almighty Employment report now scheduled to be posted. None of the other data set for release is considered key or market-moving, but most of the reports can still affect mortgage rates if they show a noticeable variance from forecasts. Wednesday should be the calmest day unless something unexpected happens.