What’s new with interest rates:
The most important aspect of real estate this month seems to be what will happen with interest rates, therefore I am turning over this month’s blog to Cindy Smith , Branch Manager at Home Trust Mortgage who I have known for over 30 years as a trusted partner in many of my clients mortgage loans. See her comments below:
“PRICES MODERATE, CHINA STIMULATES… A soft inflation read and China’s surprise moves to stimulate their economy gave traders confidence in more Fed rate cuts and healthier global growth, sending stocks to new highs.
Tuesday, China announced a raft of measures to provide a much-needed boost to their economy. Friday, the PCE Price Index, the Fed’s favorite inflation measure, showed consumer price increases slowed in August.
September Consumer Confidence posted its largest monthly decline in more than three years, but business spending bounced back in August, while a small gain in consumer spending benefited the economy.
The week ended with the Dow UP 0.6%, to 42,313; the S&P 500 UP 0.6%, to 5,738; and the Nasdaq UP 1.0%, to 18,120.
Bonds ended flat overall, but longer maturities lost ground, the 30-Year UMBS 5.0% falling 0.82, to $99.32. The national average 30-year fixed mortgage rate inched down in Freddie Mac’s Primary Mortgage Market Survey, reaching its lowest level in two years. Remember, mortgage rates can be extremely volatile, so check with your mortgage professional for up-to-the-minute information.
DID YOU KNOW… According to Realtor.com, new listings last week came in 8% ahead of a year ago, sending total active inventory 33% higher versus last year, while the median listing price was 1% lower—all encouraging signs for buyers.“
Written by Cindy Smith with Hometrust Mortgage – csmith@hometrust.com