Mortgage Rate Update February 23, 2015

Mortgage rates are unchanged from last week.

This week is shaping up to be a very busy one with a multitude of significant economic data points.

Earlier today the National Association of Realtors released its latest reading on existing home sales.  The number of sales fell but not due to a lack of demand.  As many home shoppers know all too well tight inventories are causing fewer transactions to go into contract.  Nationwide, the median home price rose by 6.2% on a year-over-year basis.

Tomorrow, Standard & Poors will release the latest reading of the Case-Shiller Home Price Index.  On Wednesday we get a look at new home sales.  On Thursday durable goods and consumer price index are released.  And on Friday we get the latest reading on Gross Domestic Product and pending home sales.

Suffice is to say we should learn a lot about the current state of the US economy and housing market this week.  With oil prices continuing to hover around $50/ barrell I maintain concerns that economic output and job growth may begin to slow which would likely hurt stocks and benefit interest rates.

From a technical perspective interest rates are trading in the middle of support and resistance and I will maintain a floating bias.

Current Outlook: floating