Mortgage interest rates flat despite stronger than expected economic data. Economic data stronger than expected included March Existing Home Sales, the February FHFA House Price Index, the February Case-Shiller Home Price Index, March New Home Sales, April Consumer Confidence, Weekly Jobless Claims, March Durable Goods Orders, the March U.S. Trade Deficit, the first look at Q1 GDP, the Q1 Employment Cost Index, and the University of Michigan Consumer Sentiment Index. Weekly Jobless Claims fell to a new low dating back to the inception of the report in 1969. The Fed is expected to increase the Fed Funds rate at least two more times this year with some calling for three rate increases. The Treasury auctioned $96 billion of 2 Year Notes, 5 Year Notes, and 7 Year Notes which were met with just okay demand. Global tensions have lessened slightly as North and South Korean leaders met at the DMZ for the first time since the war began in 1950. The European Central Bank left its benchmark rate unchanged.
The Dow Jones Industrial Average is currently at 24,237, down over 200 points on the week. The crude oil spot price is currently at $68.08 per barrel, down slightly on the week. The Dollar strengthened versus the Euro and Yen on the week.
Next week look toward Monday’s Personal Income and Outlays, Chicago Purchasing Managers Index, and Pending Home Sales Index, Tuesday’s PMI Manufacturing Index, ISM Manufacturing Index, and Construction Spending, Wednesday’s FOMC Meeting Announcement, Thursday’s International Trade and Weekly Jobless Claims, and Friday’s employment report for April as potential market moving events.