Market News 04-5-19
Mortgage Market Update
Signaling a possible slowdown in the economy, retail sales dropped 0.2% in February. Slower economic activity is likely to keep the Fed from raising rates. Rates bounced up off their recent lows this week. The market often moderates this way following a quick drop. Talks with China for a new trade deal continue to progress. When a new deal is completed, it could help push stocks higher and boost consumer confidence.
New home sales rose to an 11-month high in February, suggesting lower mortgage rates were providing further lift to the housing market. Construction spending also hit a 9-month high in February, increasing for the 3rd straight month. The strong gains are a good sign for the housing market. According to NAR, 32% of homes sold in February were on the market for less than a month. The median existing-home price for February was $249,500.