Shelter Six:  Strong Economic Data Leads to Higher Rates

September 7, 2018 by · Leave a Comment 

1. Last week’s Employment Report came in stronger than expected as the economy added 201K jobs in August while Unemployment remained at 3.9%

2. The report’s biggest surprise was August Average Hourly Earnings, which came in 2.9% higher than a year ago and at the largest annual rate of increase since April 2009!

3. There was equally strong data released last week in both manufacturing and services, too.

4. The ISM National Manufacturing Index surged to 61.3, the highest level since May 2004 and the second strongest figure ever recorded.

5. Similarly, the ISM National Services Index jumped to 58.5.  Readings above 50 indicate an expansion, and both sectors have been improving at near record rates for many months.

6. It is easier than ever to get financing for a Non-Warrantable Condo thanks to the lenient guidelines of Shelter’s new SmartCondo program.  Give us a call to learn more!

Rate Update

Last week’s strong economic data raised the outlook for future inflation and thus caused mortgage rates to push higher.

This Week

The Job Openings and Labor Turnover Rates Report (JOLTS) will be released on Wednesday, the Consumer Price Index (CPI) on Thursday, and Retail Sales on Friday.