Please enjoy this quick update on what happened this week in the housing and financial markets.
- The Fed left rates unchanged at May’s FOMC meeting but expressed faith in the strength of the economy. Markets now anticipate a June increase to be likely.
- Recent jobs data supports the view of a strong labor market. Unemployment hit a 17-year low, and a tightening labor market could support a Fed rate increase.
- Manufacturing, which accounts for about 12% of the economy, continues to recover. Factory orders were up 5.2% from a year ago
- A strong housing market has NAR raising their forecasts. Existing home sales are now expected to rise by 3.5%, and home prices likely will increase 5% this year.
- Housing starts have been in gradual recovery mode the last few years. In 2016, starts were at 1.23 million units.
- Homes with a view can sure fetch a premium. Some cities like NY and San Francisco boast a price increase of 39% to over 200% for properties with a view.
- I got fired at work today. My boss said my communication skills were awful. I didn’t know what to say to that.
| Rate movements and volatility are based on published, aggregate national averages and measured from the previous to the most recent midweek daily reporting period. These rate trends can differ from our own and are subject to change at any time. |
