Danny Salas

Archive for August 18th, 2009

Chico, CA Interest Rates Market Report – Economic Influences – Aug 18, 2009

What will the Fed say on Thursday?

Rates Making a Turn

As mentioned in yesterday’s article, I stated in might be a good day to lock.  It was.  Even though some favorable inflation numbers came in, we still have fears of the treasury bond sale annoucement that the Fed will be reporting on Thursday.  Another interesting statistic was that housing numbers weaker than expected.  This should have helped rates, but did not.

2009 & 1947 – What They Have In Common

The Producer Price Index (PPI), which measures inflation on the wholesale level, came in much lower than expected.  The Labor Department started collecting data on the PPI in 1947, and over the course of this year, we haven’t reported as great a loss since 1947.  A record -6.8%!  Now that’s recessionary numbers.