Some slightly good news makes the markets rally.
It all started last Friday with a good jobs report that sent the stocks market averages higher, which hurts the bond market’s appeal.
Then a slightly good day, then a slightly bad day, put us up for the week by about .125% in rate across the board.
Meanwhile the media is reporting news from over a week ago that rates are down. Got to love those reporters who don’t have CNBC…
Why were rates worse? Good news in the economy even though ever so slight… and weekly jobless claims were unchanged (which is better than the last few weeks).
On Friday we got the news that the June retail sales were up .6% and ex. auto .7%. The consumer price index was up .2, all of which is good news for the economy, which means money flowed out of bonds. Three hours later we got the June Industrial Production number, which was up .6%.
Remember, good news usually means bad news for rates.
Are you ready to lock-in?
If so, then remember that we also have the float down: if rates improve more than .25% after
lock-in and after full approval, you get the lower rate.