What started off as looking like lower rates were in our future, got squashed by the uptick caused by good news.
Tuesday December housing starts dropped 11% WOW! Yeah, blame it on the weather. Building permits were up 0.3% both together were mortgage interest rate positive. But that will be the last for the week…
Thursday the Q4 GDP first guestimate came in super strong at 2.6% (good news bad for rates).
Couple that with Friday’s December personal income was up 1% and spending was down 0.5% (blame it on the weather?) along with the PCE core index up 0.2% all interest rate negative news – causing interest rates to rise in most categories by .125% this week.
