Surpise in employment data forces Colorado Online Mortgage rates to climb
Some very unexpected news in relation to employment numbers hit the market first thing this morning. As a result Colorado Online Mortgage Rates hit this weeks peak. We saw a glimmer of hope on Wednesday and again Thursday morning when Colorado Online Mortgage Rates dropped, but much of the rate reductions given on these two days been now been loss due to better then expected economic data. Thursday afternoon and now Friday had several reports come in better then expected. Nothing more damaging then the Non-farm Payroll numbers which reported almost 3 times higher then expected. This came out of no where and it has caused Colorado Online Mortgage Rates to increase about .25%. We are now looking at rates in the 5.875% range for those thinking about locking your Colorado Online Mortgage Rate. Our recommendation at this point is an easy one and that is to FLOAT.
The Non-Farm payroll Employment report looks at employment figures for all business sectors accept agricultural. This report comprises the biggest employment sector in our economy and is a good measure of economic stability. Colorado Online Mortgage rates will certainly react to the data being released. Investors will typically buy Mortgage Backed Securities when economic data signals are weak, but when they come out strong like they did today, investors are more likely to sell. The selling of Mortgage Backed Securities will cause Colorado Online Mortgage rates to go up. The problem with this report, and the part I don’t like, is that it can be adjusted at a later date. So numbers being reported may adjust up or down depending on what the actual data comes in at. Several survey firms gathering preliminary numbers showed a significant difference in the data that was expected versus the actual employment numbers released today. This leads me to speculate on future adjustments. Regardless investors take each economic report as it is written and the Colorado Online Mortgage Market reacts accordingly.
Luckily we have some light reporting next week, which means that the Headlines will dominate most of the movement for Colorado Online Mortgage Rates. Though the reporting will be light, We do have a couple of reports coming out that will impact Colorado Online Mortgage Rates. Two reports to keep an eye on, one on Monday ISM Service report and one on Friday, Jobless Claims. Monday we will have the ISM Sector report. This report does give us an indication of inflationary pressures in the service sector. The Federal Reserve tends to keep a close eye on this report and you can bet that the Colorado Online Mortgage market will watch it too. Remember inflationary numbers are bad for Colorado Online Mortgage Rates. So we are hoping to see this months ISM report come in as expected. Finally Jobless claims have been reporting poorly for two months and it is projected to come in low again. If this happens we should see rates improve again. Stay tuned and have a great weekend. Call me with your Colorado Online Mortgage Rate questions.
Quick note I just logged into the market and it appears that we are beginning to recover some of the losses felt earlier today, we actually made back everything lost so far this morning. That is good news going into the weekend:-)
Tags: Colorado Online Mortgage, Mortgage Backed Securities, Mortgage Rates, Rates
May 2nd, 2008 at 7:18 pm
[…] admin wrote an interesting post today onHere’s a quick excerptAs a result Colorado Online Mortgage Rates hit this weeks peak. We saw a glimmer of hope on Wednesday and again Thursday morning when Colorado Online Mortgage Rates dropped, but much of the rate reductions given on these two days been … […]