Mortgage Rates This Week

What's Ahead For Mortgage Rates This Week- November 18,2013Last week the Veterans Day holiday on Monday contributed to a quiet week for economic news. On Wednesday the reading for the federal budget deficit for October fell from September’s reading of -$120 billion to -$92 billion.

Import Economic Data From Last Week

Weekly Jobless Claims were released Thursday and were reported at 339,000 new claims. This was higher than the expected number of 335,000 new claims helping rates move a bit lower.

Janet Yellen, the President’s choice for chairing the Federal Reserve, defended the Fed’s quantitative easing policy during her first confirmation hearing before the Senate Banking Committee. QE, which involves Fed purchases of $85 billion monthly in Treasury and mortgage backed securities, was designed to keep long-term interest rates and mortgage rates low.

Credit Reporting Agency: Mortgage Defaults Reach 5-Year Low In Q3 2013. Trans Union, one of three major credit reporting agencies in the U.S., reported that mortgage defaults fell to a five-year low to a reading of 4.09 percent for the third quarter of 2013. This reading is lower year-over-year than the revised reading of 5.33 percent for the third quarter of 2012. The reading for third quarter 2013 mortgage defaults is also lower than the reading of 4.32 percent for the second quarter of 2013. A mortgage default is defined as a home loan that is at least two months past due on payments.

What’s On Tap This Week?

We have a big week of economic data set to be released primarily on Wednesday and Thursday. The biggest event this week will be the release of the Fed Minutes, Retail Sales, Existing Home Sales and Weekly Jobless Claims. PPI and CPI will also be released; however, these normal market movers have had little impact lately as inflation is extremely low and is expected to remain low for some time. Below is a list of scheduled releases:

DateTime (ET)Economic ReleaseActualMarket ExpectsPrior
18-Nov9:00 AMNet Long-Term TIC FlowsNA-$8.9M
18-Nov10:00 AMNAHB Housing Market Index5555
19-Nov8:30 AMEmployment Cost Index0.50%0.50%
20-Nov7:00 AMMBA Mortgage IndexNA-1.80%
20-Nov8:30 AMRetail Sales0.10%-0.10%
20-Nov8:30 AMRetail Sales ex-auto0.10%0.40%
20-Nov8:30 AMCPI0.00%0.20%
20-Nov8:30 AMCore CPI0.20%0.10%
20-Nov10:00 AMExisting Home Sales5.20M5.29M
20-Nov10:00 AMBusiness Inventories0.40%0.30%
20-Nov10:30 AMCrude InventoriesNA2.640M
20-Nov2:00 PMFOMC Minutes
21-Nov8:30 AMInitial Claims333K339K
21-Nov8:30 AMContinuing Claims2863K2874K
21-Nov8:30 AMPPI-0.20%-0.10%
21-Nov8:30 AMCore PPI0.10%0.10%
21-Nov10:00 AMPhiladelphia Fed11.919.8
21-Nov10:00 AMLeading IndicatorsNA0.70%
21-Nov10:30 AMNatural Gas InventoriesNA20 bcf
22-Nov10:00 AMJOLTS – Job OpeningsNA3.883M