Friday, March 7, 2014

AM Real Estate & Mortgage Market Update

Feb employment data at 8:30 sent interest rates higher and stock indexes increasing. The unemployment rate did increase to 6.7% from 6.6% in Jan, it was expected to remain unchanged at 6.6%. Non-farm jobs increased 175K, more than what was expected and Dec and Jan jobs were increased by 25K from originally reported data and private jobs increased 162K. 

The take away from the better jobs report, at least at the moment, is that the weather didn’t have as much of a negative impact than what had been expected. Weather though still had a negative impact on the economy; that jobs were better is suggesting that once weather is more moderate job growth will increase. 


The remainder of the day will be interesting; presently markets are still touchy as traders and investors assess the implications of a better employment situation. The 10 traded to 2.81% and for the first time in six weeks has broken key technicals that had held any selling until this morning. At 10:00 the note at 2.79% while the key stock indexes traded lower than at the open. A close over 2.77% on the 10 will definitely change the technicals from slightly bullish to a bearish outlook. Expect continued volatility through the rest of the day. 

I am still suggesting that you lock in your interest rate.
Stay tuned to this blog for all your real estate and mortgage news for all of Texas including Houston, Dallas, San Antonio, and Austin.

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