Unexpected Increases Help Us Avoid A Recession
As we look back on last week, we begin to see a slight upswing in our current economic state. While rates did set record lows again, rates became volatile at the end of the week, perhaps providing us with a wakeup call to remind us how quickly things can change.
Hope of avoiding a recession was renewed when news was released that there was an unexpected increase in jobs last month. This resulted in the previous months’ job numbers being adjusted upwards. In addition, the ISM Index was another surprise increase, joining additional data that our economy is growing.
The most important economic data to keep your eye on will be the Retail Sales Data, which has been holding steady, but has signs of rising sales. If sales increase near 1.0% this week, expect to see mortgage rates rise. Also, watch to see if gas prices continue to decline, especially if the national average falls below $3 per gallon. If so, rates will most likely increase as consumers will find themselves with more money to spend.