Lake Tahoe Home Loan Rates and Lake Tahoe Mortgage Rates:
Stocks and Bonds are both trading lower today as the looming talk of tapering the Fed’s stimulus program weighs on the minds of investors. The Federal Reserve has been purchasing $85 billion a month in Treasury and Mortgage Backed Securities in an effort to promote economic recovery, keep long term interest rates low and to spur on job growth. The Fed could signal the pullback at the September 18 Federal Open Market Committee meeting.
Consumers continued to open their wallets in July signaling that the U.S. economy is on track for a recovery. The Commerce Department reported that Retail Sales in July rose by 0.2% and was essentially inline with expectations. However, when stripping out autos, sales surged by 0.5%, the fastest pace in 7 months. Consumer spending is one of the biggest drivers of the economy and accounts for about 70% of the national output.
Another key gauge of the U.S. economy showed some improvement in July. The National Federation of Independent Business Small Business Optimism Index showed a modest increase of 0.6 points to 94.1. It was the fourth highest reading since the December of 2007 reading of 94.6, but below the average 100 reading in the prior 35 years.