Mortgage Rate Update August 10, 2015

Mortgage rates are effectively unchanged from last Thursday.

In case you missed it the all-important jobs report released on Friday was essentially inline with market expectations.  The report showed 215,000 new jobs created and the unemployment rate at 5.3%.  Average hourly earnings were up slightly but not enough to stoke fears of wage-based inflation.  The market reaction was fairly muted.

This morning interest rates are modestly worse thanks to a rally in the stock market.  US stocks are higher on news that Warren Buffett’s Berkshire Hathaway will buy Oregon-based Precision Castparts for $32 billion.  When stocks do well interest rates tend to suffer.

Looking ahead for the week the economic calendar is fairly light.  There are various Fed officials slated to speak throughout the week.  As the markets struggle to better understand their game plan for raising short-term rates their comments could cause some volatility.

I will remain in a locking position.

Current Outlook: locking