July 2013

Found 14 blog entries for July 2013.

Improvement for interest rates today after hitting their highest levels since mid-2012 on Wednesday and Thursday.  The 30 year fixed mortgage rates drop back into the 4.5% range as the 10 year T-bill dropped to 2.55%, down from yesterday's high of 2.62%.  Although it's still equal to the highest we reached in late June, any reversal is quite welcome.

So What's Happening?

The slight improvement is due to changes in overseas markets as Japan saw a sharp drop overnight and several US companies reporting disappointing earnings.  Yesterday's Jobless Claims Report came in 2000 higher than expected and last week's numbers were also revised upward. Not much of a change but the 4-week moving average was revised downward slightly which was offsetting the

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Rates Stable on Mixed Economic Data

Mortgage interest rates stayed flat the past week as economic data continued to be mixed.  Economic data stronger than expected included June New Home Sales, June Durable Goods Orders, and the July University of Michigan Consumer Sentiment Index.  New Home Sales reached their best level since May 2008 and the Consumer Sentiment Index had its strongest reading in the past six years.  Economic data weaker than expected included June Existing Home Sales and June Durable Goods Orders excluding transportation orders.    Also of note, the Treasury auctioned $99 billion of 2 Year Notes, 5 Year Notes, and 7 Year Notes which were met with okay demand by markets.  Corporate earnings have been declining but are still good.  In

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We saw rates inch back up the first half of the week, with 30 year conventional mortgages moving back to 4.5%, following the 10 year treasury with an eighth of a percent increase.  Since Friday there had been little movement until Wednesday morning when we saw the 10 year increase,  moving up from  Monday's low of 2.47% to 2.6%.  Late Wednesday, the yield was drifting lower to 2.58%.

So What's Happening?

There have been few economic reports this week, with Existing Home Sales coming in weaker than expected.  The earlier reports of a 12% increase in existing home inventories, coupled with this weaker sales number would seem to indicate that we are starting to see the effects of higher mortgage rates taking some toll on home sales.  Wednesday's New

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Rates Improve Slightly on Mixed Economic Data

Mortgage interest rates improved slightly this past week on mixed economic data.  Economic data stronger than expected included the July Empire State Manufacturing Index, May Business Inventories, June Capacity Utilization, the July NAHB Housing Index, the July Philadelphia Fed Business Index, and weekly jobless claims.  The NAHB Housing Index reached its highest level since January of 2006.  Economic data weaker than expected included June Retail Sales, June Housing Starts and Building Permits, and June Leading Economic Indicators.  The June Consumer Price Index increased slightly more than expected, but year over year is up just 1.8%, below the Fed’s 2.0% target.  Also of note, Fed Chairman Ben Bernanke

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Not much change since Wednesday's Midweek Markets report.  Rates moved up some Thursday before falling all morning Friday.  Keeping this in perspective, we're moving in a very small range right now.  Wednesday morning rates on the 10 year treasury dropped from 2.53% to a low of 2.468%,  They moved up on Thursday to a high of 2.545%.  Today we've moved back down to 2.49%.  Mortgages rates have stayed pretty flat, although a few investors are re-pricing with improvements for the weekend.

What's Happening?

Yesterday's Jobless Claims report came in 10K below expectations at 334,000.  That, on its face would be bad for rates (good for the economy = bad for rates).  However with Labor Department revisions to prior weeks' numbers, the normal summer

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A good few days for interest rates....finally.  Since Friday, thirty year fixed rates have improved by a quarter percent and fifteen year rates by three eighths.  The 10 year Treasury has improved almost .2% from Friday morning's high.  This is some welcomed relief in the bond and mortgage markets.

 So what's happened? 

As we talked about on Friday, the market has been focused entirely on the comments of Fed Chairman Ben Bernanke and interpretations of when the stimulus purchasing of mortgage backed securities would end.  Friday's interest rate gains from "clarifications" from the Chairman and other Fed governors were undermined by Philly Reserve Bank President but non-voting member Charles Plosser's negative comments late Friday.  The 10 year

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Real estate statistics from May and June were a continuation of the “inventory story” in the Boulder-area market.

Although sales in May topped those in May 2012, it wasn’t as impressive as growth in previous months, and fewer single-family homes sold in June compared with the same month the previous year. Inventory continued to decline year over year in May and June.

In May, 437 single-family homes sold compared with 422 sales the year before, while 149 condominiums/townhomes sold compared with 145 the previous year. Inventory dropped from 2,009 single-family homes and 580 attached units in May 2012 to 1,584 single-family homes and 149 attached units in May 2013 – 21.1 percent and 28.4 percent differences, respectively.

While single-family home

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Rates Improve on Bernanke Comments, FOMC Minutes

Mortgage interest rates improved this past week on comments from Fed Chairman Ben Bernanke and the release of the FOMC Minutes from the June 19 FOMC meeting.  Bernanke indicated that “highly accommodative monetary policy for the foreseeable future is what’s needed” and the FOMC Minutes showed that officials would want to see more signs of job growth before beginning to taper their $85 billion per month in bond purchases.  Economic data was sparse.  May Consumer Credit increased by $19.6 billion on expectations that consumer credit would increase by $13 billion.  This was the largest increase in consumer credit in a year.  May Wholesale Inventories fell more than expected, weekly jobless claims increased

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It's been a relatively calm first part of the week with mortgage rates holding at last Friday's levels but the 10 year Treasury has recovered a little (.05%) of the .20% increase from last Friday.  The expected correction from last Friday's very sharp jump in rates hasn't materialized, re-enforcing the bearish outlook for the bond market.  

What has happened since Friday?   

Not much.  There haven't been any economic reports of any consequence to move rates.  The minutes of the June meeting of the FMOC (Federal Open Market Committee) were released at 2:00 ET today.  The markets were cautious ahead of the meeting but immediately after the release, rates improved slightly and then reversed, climbing higher before starting down again. From a cursory

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Boulder may not be home to the smartest people in America, but ranking in the top 25 of metros across the nation isn’t bad.

In his second year of determining America’s “brainiest” metros, using rankings developed by Lumos Labs via its online brain-performance program, Lumosity, Richard Florida of TheAtlanticCities.com ranked Boulder No. 16.

Florida says he based this year’s analysis on data from 2.4 million users. The rankings cover five key cognitive areas: memory, processing speed, flexibility, attention and problem-solving. The data was normalized into a basic brain performance index controlling for age and gender. Location data comes from the players’ IP addresses, and scores were aggregated to the city and metro level.

Only regions with 500

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