Congress passed a bill to raise the U.S. debt ceiling and end the partial government shutdown. While President Obama signed the short-term bill early Thursday morning, the deal will have to be revisited three months from now. Any long-term agreement over the nation’s fiscal future will be on hold until then.
According to , average mortgage rates inched upward ever so slightly for the second consecutive week.
- 30-year fixed-rate mortgages averaged 4.28% with an average 0.7 point for the week, up from the week prior, when it averaged 4.23%.
- 15-year fixed-rate mortgages averaged 3.33% with an average 0.7 point for the week, up from the week prior, when it averaged 3.31%.
- The good news? Even though rates went up, our rates are currently lower than the national average. If you’re in need of a home loan, now is a good time to lock in a low rate!
The S&P 500 hit new highs last week after Congress agreed to a deal to extend the debt ceiling, ending the partial government shutdown. On Friday, the index increased 0.7% and gained more than 2% for the week. The Dow Jones Industrial Average increased 1% for the week. The Nasdaq had the best performing index and ended the week up more than 3%.
- According to the National Association of Realtors, purchases dropped 1.9% to a 5.29 million annual rate from a revised 5.39 million pace in August. The median price of a house jumped 11.7% from 2012, pushing affordability to a nearly five-year low.
- Today, the Labor Department released the long awaited Employment Situation originally due out on Oct 4. September’s jobs number increased by 148,000 but was below consensus forecast of 184,000 jobs. The unemployment rate dropped from 7.3% to 7.2%.
- Jobless Claims will be released Thursday at 8:30 a.m. The last report to come out showed claims decreased by 15,000, following a surge of 65,000 the week before. With the government shutdown now in the past, initial claims could begin coming back down in the reports ahead.
- The New Home Sales report was delayed due to the government shutdown, but will be released Thursday at 10 a.m. New home sales rebounded nearly 8% in August after falling 14.1% in July.
- The Primary Mortgage Market Survey will be released Thursday at 10 a.m. Mortgage rates have increased slightly the last two weeks. Will rates drop this week or inch upward for a third straight week? With economic data being delayed due to the government shutdown, the market could see volatility in the coming weeks. Stay tuned to find out what direction it takes.
- The Consumer Sentiment Index will be issued Friday at 9:55 a.m. Sentiment slipped to 75.2 in the mid-month October reading compared to 77.5 for the final in September.
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