Houston Mortgage Update 10/07/2014

Houston mortgage rates are holding steady with faltering global growth  in Europe and China. The German manufacturing sector was disappointing, showing contraction in the sector for the first time in over a year. U.S. Factory activity, marked by the ISM Manufacturing Index, did not fare well either. Composite activity slowed but nevertheless, remained solid for the ISM manufacturing sample where the headline index fell 2.4 points to 56.6. It appears that Eurpoe is headed for its’ third recessin since the Lehman Brothers implosion that led to mortgage mess of the last decade.

Things on this side of the pond are not fairing much better. On Tuesday, the Conference Board reported that its measure of Consumer Confidence had experienced its sharpest decline since last October. Negative sentiment should be good for Houston mortgage rates, but not good for the overall health of the nation’s economy.

The Labor Department data indicated that employers added 248,000 jobs to their payrolls last month. The unemployment rate fell to 5.9%, its lowest point since July 2008, but much of the drop in unemployment stemmed from a continuing decline in the labor force participation rate. With the labor force participation rate at an all-time high those in Washington should stop crowing about the unemployment rate. If less people are actually in the labor force it is a moot point.

Overall bad economic news is typically good for Houston mortgage rates. We are living the dream with great job growth in Houston, along with low Houston mortgage rates, which continue to drive the growth of Houston.

Oveall the economic calendar this week that could effect Houston mortgage rates is somewhat light compared to last week. Here is what we have on this week’s calendar:

FOMC Minutes on Wednesday

Jobless Claims on Thursday

Treasury Budget and Import and Export Prices on Friday

We see Houston mortgage rates holding steady this week.

 

 

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