Jan 8 “ Sales contracts on previously owned homes fell by 2.6% in November, a sign that sales will continue to decline after increasing the previous two months.
Jan 10 “ Freddie Mac reported that the average 30-year fixed rate mortgage was at its lowest point since September 2005.
Jan 11 “ Bank of America agreed to purchase Countrywide Mortgage, the largest lender in the U.S.
Jan 11 “ A record increase in imported oil prices in November sent the trade deficit to its highest level in more than a year.
Jan 11 “ Oil closed the week at $92.90 a barrel, down from $97.91 last Friday.
Chairman Bernanke said the Fed is ready to take “substantive additional” rate cuts to support growth and insure against the risks of a sharp downturn in the economy. The market is expecting short-term interest rates to be cut by .50% at the Fed meeting to be held on 1/29 “ 1/30/08. The Fed could drop them quicker in reaction to the decline in the stock market.
Friday™s 10-year Treasury note closed at 3.79%, down from 3.87% last Friday.
This information was compiled by my office’s Senior Mortgage Adviser, Dick Opel.