Colorado Home Mortgage Banking

The last 4 or 5 days have kept me on edge in anticipation of what was to be reported in the inflationary numbers category. Colorado Home Mortgage Loan rates have reacted negatively so far.  Investors tend to over react mainly to avoid holding on to the short end of the stick if the data comes in unfavorable to what ever position they have taken in the market.  Consumer Price Index reported this morning and the reports were right in line with expectation.  Though many investors consider the data to be unfavorable the data was already priced into the market.  We should see some rebounding in the Mortgage Backed Securities market over the next day or so.  Colorado Mortgage Loan rates should make up some of the losses felt yesterday, however we probably will not recover all the losses until sometime early next week.  We will need a couple more economic reports to come in with negative economic forecasts for that to happen.  Colorado Home Mortgage Loan rates should see about .125% to .25% improvement in rates by the end of the week.  This should make FLOATING a good risk.  Stay tunned and see if the market has any pricing alerts.  Until then Call me with any questions.  Finally the industrial numbers came in and the reports did indicate that we expereinced a mild amount of growth which is off from investor predictions. Normally this would be bad news for Colorado Home Mortgage Loan rates, but we also had the housing starts report come in and that came in at a 17 year low.  All in all we had a number of reports impacting Colorado Home Mortgage Loan rates however the trend is showing improvements for today which will hopefully carry us through the end of the week. 

I did take another quick glance at the Mortgage Backed Securities markets and so far today interest rates are remaining flat, however this may be due to the stock market increases seen so far.  Nothing in the reports show anything that should put up any concerns, but as usual stay tuned.  God Bless:-)  

Daniel