Florida Mortgage Market – Week in Review

by Florida's #1 Mortgage Planner on April 21, 2008

Last week was not very friendly to bonds, in fact, they were beat down through the floor.  Even though bonds were able to muster strength on Friday, it was more of a sympathy move (short covering likely) than anything else.

Virtually the entire week kept traders focused on inflation and those fears beat out those of recession.  As you know, bonds hate inflation, and their prices showed that, ending the week down around 100 basis points, sending mortgage rates up about .25%.

Retail Sales had kicked the week off by beating expectations, followed by PPI breaking well away from its expectations.  CPI came in as expected, but didn’t leave any room to doubt inflation is gripping our economy.  Initial Jobless Claims was the only rose in the news, but it wilted away rather quickly.  Earnings, such as Google, came in better than expected and the money flowed to stocks as a result.

Where do bonds and rates go from here, check out the Forecast for the Week coming out in a few.

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