HOUSING AND FINANCIAL UPDATE FOR THE WEEK ENDING JUNE 22, 2018
For the Week Ending June 22, 2018
Tariffs imposed by President Trump have elicited retaliation from countries around the globe. Concerns about a trade war have helped mortgage rates. Fed Chair Powell recently confirmed the case for continuing to raise interest rates remains "strong." He cited solid economic growth and full employment. Jobless claims have fallen for the 4th straight week. Employers are increasingly reporting labor shortages, which are likely to lead to wage growth and inflation.
Home builders are excited by strong demand for housing. However, they are frustrated with labor shortages and rising costs for lumber. New housing starts surged to an 11-year high of 1.35 million in May. Both single-family and multi-family home construction increased. Existing home sales fell last month, as a shortage of properties pushed prices to a record high. At May's sales pace, unsold inventory is at a 4.1-month supply.
Knowledge is knowing a tomato is a fruit; wisdom is not putting it in a fruit salad.
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
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