There are four relevant reports scheduled for release this week that are likely to affect mortgage pricing. The first important release is the Institute for Supply Management’s (ISM) manufacturing index for July late tomorrow morning. This index measures manufacturer sentiment by surveying trade executives about business conditions during the month and is considered to be of fairly high importance to the markets. A reading above 50.0 means that more surveyed executives felt that business improved last month than those who said it had worsened. Tomorrow’s release is expected to show a reading of 54.2, down from last month’s 56.2, indicating manufacturer sentiment slipped in July. A smaller than expected reading would be good news for the bond market and would likely improve Delaware mortgage rates tomorrow. However, a stronger than expected reading could lead to higher Delaware mortgage rates. Keep Reading...

The bond market has reacted favorably to Fed Chairman Bernanke’s testimony to the Senate Banking Committee. Mr. Bernanke didn’t say anything that was a major surprise but did hit some key points that are favorable to bonds and Delaware mortgage rates. He said that he expects key short-term rates to remain low for an “extended period,” that the economic recovery will be slower than previously estimated and that the Fed could take further stimulus action if needed. He added that inflation remains lower than earlier forecasts. Keep Reading...