Lake Tahoe Home Loan Rates and Lake Tahoe Mortgage Rates:
Monday’s bond market has opened in negative territory, but not by enough to affect mortgage rates. The stock markets are showing minor losses with the Dow down 44 points and the Nasdaq down 5 points. The bond market is currently down 6/32, however, due to a decent closing Friday we should see little change in this morning’s mortgage rates.
There is nothing set for release today that is of relevance to mortgage rates. However, the rest of the week is packed with highly influential economic data and other events that can significantly impact mortgage rates movement. There are seven economic reports that may affect mortgage pricing in addition to another FOMC meeting that certainly has the potential to cause chaos in the financial and mortgage markets. There is important economic data scheduled for release each of the remaining four days, so there is a strong likelihood of seeing noticeable mortgage rate movement several days, with more than including an intra-day revision.
The data kicks off tomorrow when the Conference Board posts their Consumer Confidence Index (CCI) for July at 10:00 AM ET. This index measures consumer sentiment, giving us an idea of consumer willingness to spend. If consumers are more confident in their own financial and employment situations, they are apt to make large purchases in the near future. This is important because consumer spending makes up such a large portion of our economy. If the CCI reading is weaker than expected, meaning that consumers were less confident than thought and likely will delay making a large personal purchase, we may see bond prices rise and mortgage rates drop tomorrow morning. Current forecasts are calling for a reading of 81.6, which would be a slightly higher reading than June’s 81.4 and indicate consumers are a little more comfortable with their finances than they were last month.
Wednesday morning has two reports scheduled (2nd quarter initial GDP reading and Employee Productivity & Costs) and the adjournment of the FOMC meeting that starts tomorrow. The GDP reading is an extremely important report that will be looked at by analysts and traders both here and internationally. Thursday and Friday also have very important releases (ISM manufacturing index and July’s Employment report respectively), so look for plenty of activity the middle and latter days of the week.
Overall, I am expecting to see an extremely active week for the financial markets and mortgage rates. I think that the most important day is either going to be Wednesday due to the GDP release and FOMC adjournment or Friday with July’s employment numbers being posted. The least important day is today since nothing of importance is scheduled. I suspect we will see plenty of movement in not only mortgage rates, but also the financial markets in general this week.