Market News 04-26-19
Mortgage Market Update
Stocks continue to hit record highs, helped by strong corporate earnings. Money moving from bonds back into stocks can continue to pressure rates higher. New orders for U.S.-made capital goods increased by the most in 8 months in March, but a drop in shipments suggested business spending slowed. Weekly jobless claims recorded the biggest increase in 19 months last week. The overall trend in claims, however, remains consistent with a strong labor market.
New home sales hit a 1-1/2-yr high in March, boosted by home prices and lower mortgage rates. It was the 3rd straight monthly increase for new home sales. However, existing home sales, which make up about 90% of sales, aren’t doing as well. Sales fell 4.9% in March. After seeing mortgage rates increase slightly, mortgage application volume was down last week 7.3%. However, that’s still 6.6% higher than a year ago.