FHA Home Loan Rates (Dec. 9)

FHA Home Loan Rate Recommendation: If I were closing on an FHA Home Loan anytime within the next 60 days I would lock in my FHA home loan rate. *

Tuesday’s bond market has opened flat with no relevant economic news scheduled for release today.  The stock markets are mixed with the Dow down 103 points and the Nasdaq up 12 points.  The bond market is currently nearly unchanged from yesterday’s close, but we will still see an increase in this morning’s mortgage rates of approximately .250 of a discount due to weakness late yesterday.

This week is moderately busy in terms of the number of economic releases scheduled for release. There are four on the agenda but two of them are considered to be very important that can heavily influence the markets and mortgage pricing.  In addition, there is a 10-year Treasury Note auction Thursday that may hurt or help boost bond prices, depending on how strong of a demand there is in the sale.  Since all of the data is scheduled for release Thursday and Friday, the most movement in rates will likely be the latter part of the week.

There is no relevant economic news scheduled for release today or tomorrow. The first data is October’s Goods and Services Trade Balance report early Thursday morning. This report gives the size of the U.S. trade deficit, but it is the week’s least important release. It is expected to show a $54.0 billion trade deficit. Unless it varies greatly from forecasts, I don’t expect it to affect mortgage pricing.

Friday brings us the release of all of this week’s important data with November’s Retail Sales and Producer Price Index (PPI) being posted.  I am expecting to see the most movement in rates Friday, but I believe the general atmosphere for mortgage rates is still negative.

* This is only my opinion of what I would do if I were financing a home. It is only an opinion and cannot be guaranteed to be in the best interest of all/any other borrowers.