First Team’s Weekly Mortgage Watch (June 22nd, 2014) this week highlights the following updates:
- Unlike the drama and excitement of the World Cup, mortgage rates showed little change without any strong move in either direction. However, according to some analysts, it is the world stage that is repeatedly slowing US economic prospects.
- The crisis in the Ukraine and the surge of problems in Iraq are identified as the latest challenges that sap US and global opportunity for growth.
- Regardless, the Federal Reserve did taper QE3 another $10 billion, last week, as expected. Chair Janet Yellen focused on continued, although slow, improvements in the US labor market, and predictions that Q1’s reduction in GDP is expected to reverse course in the second quarter.
- This week, we get the final revision to the Q1’s GDP. Expectations are for a revision downward to almost -2.0%. If GDP did not fare as poorly as expected, rates could begin to trend upward.
- This would be accelerated by any other good economic reports, especially, Consumer Confidence. With so many global challenges, any signs that US consumers are likely to spend could push rates upward.
- According to 24/7 Wall St. and RealtyTrac, several US housing markets have now completely recovered from the housing crisis and reached new highs. Their analysis showed that counties in the middle sections of the country faired best during the recession, with housing seeing smaller fluctuations.
Originally posted at: http://www.firstteam.com/blog/?p=8693
