Florida Mortgage Rates – Philly Fed Update

by Florida's #1 Mortgage Planner on April 16, 2009

Locking Stance: CAUTIOUSLY FLOATING    Mortgage Bonds: 0bp

Here is the promised update after the release of the Philadelphia Fed Index (sorry it took so long, but I wanted to gauge market reaction for a while). 

The Philadelphia Fed Index came in better than expected, but still in negative territory, indicative of continued contraction and not a genuine sign of economic recovery.  The Philly Fed was reported at –24.4 versus expectations of –30.2, so the economy is not doing as bad as expected, but it isn’t doing good either.  Overall, the news is not good for mortgage backed securities, but they are holding their own right now.  Overall, the markets are basically flatlining today, so I am changing my stance for the moment as it appears not much movement will occur today and that it is safe to wait at least until tomorrow.

What does this mean for Florida Mortgage Rates?  At the moment, the picture looks safe to float at least one more day.  Beyond that remains somewhat uncertain, but tomorrow may shed more light.

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