Market News 5-29-2020
Mortgage Market Update
Consumer confidence nudged up in May, suggesting a positive turn for the pandemic-driven economic slump as the country starts to reopen. U.S. retail traffic jumped over Memorial Day weekend, according to cell phone data. Unacast reported national traffic to retail sites was about 25% of 2019 numbers.Last week’s continuing unemployment claims fell for the first time during the pandemic. Initial claims came in at 2.12 million, for a 4-week total of more than 40 million.
Home prices continued to grow in March. The FHFA’s House Price Index showed 1st quarter gains over 2019, and Case-Shiller posted larger annual increases in March than in February. Purchase mortgage apps rose for the 6th straight week, jumping 9 percent over the previous week and surging 54 percent over early April’s activity. New home sales increased in April, defying expectations of a huge drop. Builders have been reporting stronger demand, and builder sentiment rose in May.