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Rates Flat on Limited Economic Data

Date: June 23, 2017

Mortgage interest rates were mostly flat on the week as economic data was limited. Of note, May Existing Home Sales, the April FHFA House Price Index, and May New Home Sales were stronger than expected. The FHFA House Price Index was up 0.7% month over month and 6.8% year over year. The median sales price for Existing Home Sales was $252,800 and $345,800 for New Home Sales. Weekly Jobless Claims and May Leading Economic Indicators were in line with expectations. Congress is working on changes to health care and the tax code. In Europe, the Eurozone Manufacturing PMI was better than expected but the Services PMI was weaker than expected. In Saudi Arabia there is a new Crown Prince which may lead to increased tensions between Saudi Arabia and Iran.

The Dow Jones Industrial Average is currently at 21,412, up slightly on the week. The crude oil spot price is currently at $43.07 per barrel, down almost $2 per barrel on the week. The Dollar strengthened versus the Euro and Yen on the week.

Next week look toward Monday’s Durable Goods Orders, Tuesday’s Case-Shiller Home Price Index and Consumer Confidence Index, Wednesday’s International trade and Pending Home Sales Index, Thursday’s final look at Q1 GDP and Jobless Claims, and Friday’s Personal Income and Outlays, Chicago Purchasing Managers Index, and Consumer Sentiment Index as potential market moving events.