Danny Salas

Archive for September 2nd, 2009

Chico, CA Interest Rates Market Report – Economic Influences – September 2, 2009

Rates in the Mid-4's???

Rates Keep Sliding

ADP is a payroll company that monitors employment statistics, because they’re such a huge corporation.  They estimated that jobs numbers would be worse than expectations, when they come out on Friday.  Now, ADP has been wrong on numerous occasions, however, they still have an influence on the market. 

MCGE

No, this is not a new electric lightbulb from General Electric, it’s an introduction by The Mortgage Bankers Association called Mortgage Credit Guarantor Entities.  Essentially, these would be smaller corporations that would take over management of the GSE’s (Fannie Mae & Freddie Mac), trade Mortgage-Backed Securities, but with a government guarantee, of course.  Don’t know if this will go very far, but it’s an interesting proposal.

Oil Prices Dipping

Yes, the gooey stuff is down to $68 per barrel on fears that the world economic crisis is not as close to being finished, as some thought. 

To Lock Or Not To Lock

Tomorrow morning might be a good time to lock, on a short escrow.  Otherwise, if you have about three weeks or more, I’d float into the month.  September Stock Values generally plunge, putting more money into Mortgage Backed Securities (Bonds), and therefore lower interest rates.