Indymac vs. Schumer vs. the Regulators

First Senator Schumer let's loose with a public "Hey we better watch these guys" email.

Indymac of course issues the standard issue, "We're doing fine."

Wall St. and the general public get the jitters.

Now two different Regulators come out (publicly) telling Schumer to watch his P's and Q's!  IndyMac, Regulators Pursue Plan to Help Stabilize Bank (WSJ)

http://www.veoh.com/videos/v14714674z3cWdGfN

We're in very volatile times, you really need to be careful out there. One little slip and dramatic changes can occur.

Indymac on Google Finance

Will the Fed's Bump Rates?

I posed this question the video community and we'll see what they think.

The decision will posted at 11:15 Pacific time today. 

What do you think? 

Feel free to post your own video comment reply and get in on the conversation.

Feds drop Rates .25%

This just in.

The Fed's...  aka Ben Bernanke, FOMC, whatever you want to call them, have dropped the Federal Funds Rate and the Discount Rate a 1/4 of a percent.

This in turn has dropped the Prime Rate 1/4 percent.

Remember, this effects the SHORT TERM Interest Rates

LONG TERM Interest Rates rely on what is going on in the Mortgage Backed Securities.

But you already knew that right?

Here's a link to the Press Release:  FOMC Statement

Don't forget you can get all the latest mortgage industry changes HERE

 

The Blueprint

"We should and can have a structure that is designed for the world we live in, one that is more flexible, one that can better adapt to change, one that will allow us to more effectively deal with inevitable market disruptions and one that will better protect investors and consumers. The challenge is to evolve to a more flexible, efficient and effective regulatory framework - and that is the purpose of this Blueprint."
- Treasury Secretary Henry M. Paulson, Jr.

---

You may have missed it. On Monday, Hank Paulson announced a new Blueprint for restructuring financial regulation. I was going to just let it go.

But then someone dropped me an email asking what impact it was going to have on mortgages.

Here's how I see it.

I look at the current housing crisis as a fire.

We're in the middle of a raging structure fire. Right now we should focus our collective energy on controlling and putting out that fire.

This Blueprint is akin to drafting new regulations that require fire sprinklers in every room for new buildings. How's that going to change what's going on right now?

It's forward looking and doesn't deal with the situation today.

Some things that grab our attention are completely useless. I think this is one of those things - at least for right now.

Now, let's get some water on that fire!

What's with the Fed's Securities Lending Program?

Very early this morning the Fed's announced they are increasing their Securities Lending Program by $200 billion.  Before the market opened, all financial stocks were up dramatically.

"So what is this Securities Lending Program and why should I care?"

Good question.  The buzzword you are going to hear is liquidity. 

In this we are talking specifically about the ability of big lenders to borrow money from somewhere (as in the secondary mortgage market), and lend money to somewhere (that would be you and me - the homeowner)

The Fed deals in Treasury dollars.  The Lenders deal in Mortgage Backed Securities (MBS).  Remember that lenders sell pools of mortgages to investors packaged as Mortgage Backed Securities.  The prices investors pay for those pools determines what that lender can do or not do in the future.  If the investor dollars have stopped buying what your selling you might have an issue. 

I grow tomatoes in the summertime.  I love Heirloom Tomatoes and they dominate my garden every year.  Let's assume times are tough in the mortgage business.  Yeah right!

I decide to go into the tomato business.  I box all my tomatoes as they ripen and sell them to the local grocery store down the street.  The prices that the grocer will pay me fluctuate due to the demand, but overall I should make a pretty good return. 

It's the heat of summer, and I walk in with my prized Purple Cherokee's, Black Crims, and Green Zebras.  Sam, the grocer says he isn't buying, neither is Joe down the street, or Luigi across town!  They tell me that some FDA report came out saying tomatoes might cause excessive eyebrow hair growth.

Oh no!  What am I going to do with all these tomatoes?  My garden is wall to wall tomatoes!How am I going to pay my water bill if I don't get cash for all these damn tomatoes?

I have a liquidity problem.  That's where Lenders are right now.

The Securities Lending Program allows "primary dealers" (big lenders) to exchange mortgage-backed securities (MBS), and other debt instruments for Treasury securities. 

Going back to my tomatoes.  Although the market for my tomatoes has dried up today, we all know it'll come back someday in the future (we hope).  The Feds have a program that allows big Tomato Dealers like me, who's market has dried up, to trade in some of those bushels in exchange for something else (let's say, apples). 

Now follow along, we're going to move quickly here...

Luckily the water company accepts apples as payment.  I exchange some of my boxes of tomatoes for apples.  I then pay the water company and keep the water flowing to my garden.  My existing tomato plants don't shrivel up and die.  The news comes out that the FDA story was incorrect and heirloom tomatoes actually increase a certain part of the male anatomy.  Suddenly Sam, Joe, and Luigi are all calling me for my Tomatoes!  That's what the feds hope will happen with the mortgage market.

Wow!

(all puns intended)

The Feds, Rogue Traders, & Jumbo Rates

This weekend I was at my local lumber yard picking up a door for my bathroom remodel.  Dolan's Lumber employs some of the most knowledgeable people in the industry. 

I'm a weekend warrior when it really comes to it.  I know the right end of the nail, maybe more than most, but I am far from an expert.  Between Jeff, Tammy and Lorn there isn't much about doors and windows left uncovered.  When I have door question, a problem, or a need - it's not Home Depot or Lowe's, there's only one place to go, it's Dolan's.

There is no substitute for correct information, products and services.

While I was in the sales office I couldn't help but overhear a conversation going on between a counter person and a customer.  They were chit chatting about the Feds and how the government was going to fix the housing crunch. 

Unfortunately, they had it all wrong.  It wasn't the time or the place to get into a heavy discussion but I started thinking about how many other conversations were happening with the same flawed information.

THE FED's, THE ROGUE TRADER AND CONFORMING LOANS

Friday night I met with a small group of local real estate professionals.  I'm meeting with yet another group this morning.  We'll probably cover many of the same topics with one important difference - our conversations will be based on correct and accurate facts.  This isn't about us being smarter or better than anyone else.  It's our business.  It's vitally important to us.  It's what we do.

Want to make your real estate professional's day?
Call them up and ask them their opinion.

"Hey Mike, what's up with this conforming loan limit I keep hearing about?"

The point I'm trying to make is this.
Go to the right people for the right information.

 

BTW: I highly recommend you read a great post I found: "Simple Acts of Kindness and Caring". 

It's not related but Wow!

 

The Emergency Fed Rate Cut

Before the market opened today the Feds announced a .75% drop in the Fed Funds Rate and the Discount Rate.

If you are keeping score at home, here's what your scorecard should look like:

• Fed Funds Rate: 3.5%
• Discount Rate: 4%
• Prime Rate: 6.5%

Your Home Equity Line of Credit just dropped from 7.25% to 6.5%

This was the first time they dropped by that much since 1984.

Here's their Official Statement: LINK

They cited as a key factor,

"weakening of the economic outlook and increasing downside risks to growth"

and then pointed the flying fickled finger of fate at

"incoming information indicates a deepening of the housing contraction as well as some softening in labor markets"

The markets are set to open much lower today. Don't forget, the Feds are meeting again next week. And many are still expecting further cuts!

I've said this before - We're in for a wild ride. Fasten your seatbelts!

I'm going to wait till rates drop

Most every competent mortgage person will tell you, when the feds change the rates they are responsible for (Fed Funds and Discount) it has little effect on the actual mortgage rates you and I get to pay.

So the Fed's decided to lower the Fed Funds Rate .25 bps and lower the Discount Rate .25 pbs.  

FOMC Statement

Did mortgage rates go down? 

Here's a short video with Greg McBride from BankRate explaining the disconnect.

http://www.cnbc.com/id/15840232?video=606963530

I have issues with BankRate in that they exist to sell advertising, much of the rates advertised there are deceptive at best.  But Greg does know what he's talking about in reference to rates - I'll give him that.

So should you wait to refinance or purchase until the Feds lower even more?
I think you already know that answer.

 

Feel The Pain

At first I was just going to let this slide off into obscurity. I can't.

On Friday, I watched Jim Cramer of CNBC have his own personal on camera meltdown. I'm not a big fan of Cramer, but I certainly can feel his pain.

Cramer's was upset by the Fed's not paying attention to what is actually happening in the market. His Pain comes directly from his contacts in the hedge fund business. The fact that "good people" were losing their jobs because of the Fed's position. His Pain was that two of the Feds, Ben and Bill, were not paying attention. They just were not getting it.

I mentioned yesterday that the market was operating in uncharted territory right now. The 10 Year Bond Yield and the mortgage rates that have been mirroring the rise and fall of that bond yield have gone their separate ways.

My metaphor of choice was flying a jet through a cloud, no visibility, with no radar. Flying Blind.

I talked to a few Agents today. They've watched the same news I have, they've seen the same articles, some many even read that post. Yet as I was discussing current events with them, discussing the current Mortgage Meltdown, it became crystal clear they were just not getting the gravity of the situation. They just were not getting it.

"Mike, does this mean you can't get my self employed client approved for a 80/20 first time home buyer on a Non Owner Occupied duplex with his 600 credit score?"

Let's put it this way...

"Ladies and gentlemen, This is the Navigation Officer. I regret to inform you that it appears both the Captain and Co-Pilot have used their emergency parachutes and have left the plane. We'll pretend nothing has happened and continue flying on autopilot. Have a Nice Day and thank you for flying Mortgage Airlines!"

"So, how soon can we get them pre-approved and ready to make an offer?"

That right there is My Pain.

Jim, I feel for you.

Here is Jim's Meltdown.

Ben S. Bernanke, Chairman

William Poole, Federal Reserve Bank of St. Louis

Zillow Loves Me

Ok, so the truth may be closer to...

Zillow liked something I wrote and decided to feature it.

LINK

Diane Tuman wrote that,

"I spend a lot of time in the Real Estate Guide, editing content, organizing content, and "redirecting" spam when I see it. Lots of similarly-themed titles flow one after another, involving mortgages, title insurance, buying homes, selling homes, staging- you name it. However, one headline that popped out at me amid the usual subjects was: Puddles and Pools. Puddles? Pools? How do puddles and pools go together? The imagery was driving me nuts, especially since I kept thinking of a puddle of water on my kitchen floor or a pool of water in my basement!

I soon discovered that Puddles and Pools had nothing to do with H2O, but was a creatively-written article by Mike Mueller of Patagonia Finance (Concord, CA) about how mortgage rates are determined. For my very limited mathematical brain, it made total sense: "Pools" represents trillions of dollars of mortgage money that moves slowly and steadily through the biz by the giants of the industry (Fannie Mae, Freddie Mac and Ginnie Mae), while "puddles" represents smaller amounts of money - although perhaps millions or billions of dollars - that is controlled by large insurance companies, investment funds and pension funds. For each of these areas, the money needs to keep moving and is the source in serving both conventional loans and jumbo loans.

This is only part of the article, which explains what makes mortgage rates go up and down. Other factors include mortgage-backed securities and supply and demand. So when you wonder what drives mortgage rates up and down, think about puddles and pools of money and the image that water needs to keep moving."

I am honored to have something I've written featured in such a prominent website such as Zillow.

It's very true that the general public has no idea why rates go up or down.

I talk to loan officers and real estate agents everyday who don't have the slightest clue.

I thought by using the metaphor for the two bodies of water I could better convey the differences.

I think I may have been right.

My original article can be read here: http://www.patagoniafinance.com/2007/06/of-puddles-and-pools.html

Neg Am Disclosures - a little too late?

"The Federal Reserve Board is considering potential revisions to Reg Z, including: (a) simplifying and clarifying Regulation Z's adjustable rate mortgage disclosures, to make them easier for consumers to understand and use; (b) requiring a "worst-case" payment disclosure; (c) requiring additional disclosures in connection with negatively amortizing loans; and (d) changing Regulation Z's timing requirements for transaction-specific, non-purchase loan disclosures."

The upcoming boom in foreclosures is being forecasted by many professionals.
Nothing new there.
But as I have said before, the underlying reasons for this upcoming boom is largely due to good people who were sold bad loans for all the wrong reasons by unscrupulous loan originators. It's a industry wide problem. Everyday I get countless mail and spam advertising rates as low as 1%. I'll bet you do too.

The problem is that so many bay area homeowners have bought into loans like these or similar. They may have refinanced a couple of years ago into an adjustable rate mortgage with a 2 or 3 year fixed rate period. But that was a couple of years ago and now those fixed periods are running out and these same owners will now see there monthly payments rise incredibly. When that happens the first thing they will do is seek another refi. This time though they'll have a harder time qualifying. Many factors go into a qualification. Income, Debts, Debt Ratios, Loan to Value Ratios, and so on. If their house has declined in value, what was a good enough debt ratio and loan to value ratio may not be good enough this time.

In the last refi they may have had enough equity to pay off all their consumer debt.
This time they might not have the equity yet have run the credit card balances back up again.

They might be left with no choice but to sell or continue on paying their new much higher monthly payment. That's when we'll see the foreclosures really start!

So now that the cows have left the barn...
The fed's is thinking maybe the consumer should have a little more disclosure?

I'm all for that, but aren't they a little late?

The Envelope Please...

Ok, so it's not so dramatic as that.

The Fed's as predicted - are keeping rates the same.
Here's a link to the press release: LINK
or you can just read it here.

Tame comments in the dialog section regarding inflation concerns.



















12:30 Update: Did you see what happened to the market when they read the "Tame" comments ? Dropped like a rock!

The Fed's and You

When we say the Fed's, we're talking about the FOMC.

That stands for the Federal Open Market Committee.
Sometimes they'll be called the Federal Reserve Board.
And then sometimes they are called other words to nasty to print here.

No matter what you call them they quietly go about their business.
They meet behind closed doors, they do very little interviews, and the twelve member board generally speaks through one voice, that of it's Chariman, Ben Bernanke.

With all this lack of fanfare and sensationalism, the entire business world watches and waits on their every move.

Let's put it this way,...
Take Britney Spears, Lindsay Lohan, Jennifer Aniston, Jessica Simpson, Angelina and Brad, Tom Cruise and his woman, end every other one not named here but had their picture on one of the grocery lines trash mag covers over the last year. Add everyone who didn't make the cover but had a picture on the inside. Heck, just for good measure we'll even throw in Madonna!
Now let's roll them all into one person - and call that The Fed.

Now take everyone who watches Wall Street, everyone who works on Wall Street, everyone who invests in Stocks, Bonds, Mutual funds. Everyone who runs a company or has a part in running a company. Every business student, every business teacher, every business writer, every business reporter, every business watcher and reader. Add all pension and retirement watchers. Add every bank VP. Add just about every person in the world who is mindful of the business world and what goes into it.
Round them all up (picture the Verizon commercials with the mass of people lined up).
All these people are The Paparazzi.

They follow the Lindsay's, and Britney's everywhere they go.
They listen to everything they say.
By the time Jessica sneezes, the head office already has the report.
These people are ruthless in finding out what the Fed thinks, what the Fed's might do next.

Is that a good analogy?

And yet with all this hoopla, the Fed's really do just one little thing.
They set the Fed Funds Rate - that's the rate in which the Feds lend money to the big institutions.

Now just like, "Why Britney shaved her head", there's much more to the story than just that.
The Fed Funds Rate influences the Discount Rate which influences the Prime Rate, which influences the private school K-Fed's kid is going to enroll in.
(I was just kidding about that last part)

But the Prime Rate effects you and I.
It's what our Home Equity Loan is tied to.
It's what our small balance commercial loan is tied to.
It's the loadstar of short term rates.

Do we need to become Paparaza of the Fed's?
No.
But we do need to mindful of what they are thinking and doing.
They'll be announcing today (11:15 AM Pacific Time) one of three things:

1. That they either have lowered rates,
   
2. They have raised rates or,
3. They have left rates the same.
   

The mindful people think they'll keep them the same, this time around.
Personally, I like this kind of stuff far better than reading the tabloids!

Want to Super Size that?

Not that they are related...
But with the combination of the collapse of the sub-Prime markets,
the tightening of the credit window,
and the recent bump in short term interest rates have in combination changed the menu on many a mortgage lenders drive thru window.

What's happening?
We're losing the ability to do combo loans.

These are loans that allow a borrower to borrow higher loan to values at lower blended rates.

Let's say you want to buy a home.
You have 10% available for the down payment.
Let's say you want to avoid PMI
(although now that it is tax deductible further analysis is required).
Your trusted mortgage professional sets you up with a great conventional loan of 80% loan to value, they also do a "piggyback" 2nd loan of 10%.
You now have what is called an 80/10/10. That's a combo loan. Make sense?

This was the way many purchases were structured especially here in CA.

Lately we've seen many lenders backing out of the second mortgage market.
They would rather do the loan at 90% at a higher rate, than do two loans.

Why?
Liability in part.
As loans go bad, the foreclosure process protects the holder of the first mortgage first.
If the house is sold at auction and only yields enough to payoff the first and part of the second, it's the second that takes the hit.

The other part that comes into play is what we call Section 32.
This is named after the code that defines a high cost loan.

It doesn't matter that I've never done a Sec. 32 loan.
The well is drying up for all.

Here's an email I received from a lender stating their concerns.

"Due to an increase in 2nd mortgage rates, there is a possibility that certain loans may fail the section 32 APR test. The 2nd mortgage loans most likely to be affected are fixed rate, lower score, high CLTV, stated income/No Doc and 2nd's with negative amortization loans in first lien position. Generally, a combination of two or more of these loan criteria adjustments are necessary to fail the section 32 APR test.

NOTE: We do not purchase or originate a loan that meets the federal definition of a high cost loan (section 32)

A general rule for fixed 2nd mortgages is that the APR can not exceed 14.86% with today's 30 year treasury index of 4.86%. In some cases the adjustments as noted above may exceed this APR in which we would not be able to originate such a loan.

The following is a short summary of the Section 32 Test that is run against all owner occupied loans submitted to us.

1) The Section 32 test is applied to all owner-occupied transactions, both purchases and refinances, 1st and 2nd liens (excluding LOC).

Although the Section 32 Test is not applied to HELOCS, we do apply a company specific high cost test on these loan programs. It is the

fully indexed rate + 10% and is found on the compliance report under the Test Name "Policy Rate." Purchase transactions which fail

the Section 32 test will also have results appear here.

2) An APR Test and a Points & Fees Test is applied to these transactions.

APR Test: The annual percentage rate (APR) cannot exceed by more than 8% (1st liens) or 10% (2nd liens) the yield on treasury securities with comparable loan maturities as of the 15th of the month immediately preceding the month in which the application is received.

Therefore, the APR on the loan transaction is tested against the Index + 8% or 10%. For example, on a 30 year, 1st lien with an application date of 2/10/2007 and an APR of 12.586% would be tested against the following value: 1/15/2007 30 year treasury security index of 4.86% + 8% = 12.86%

This loan would PASS because the APR (12.586%) is below the maximum Section 32 calculation of 12.86%"

Does that all make sense?
If it does, count yourself as one of the elite in the mortgage biz.
I'd say 99% of the loan officers out there don't understand this.

If it wasn't clear here's your Cliff Note Version:
Treasury Bonds have risen. Your loan is not based on a T-Bond but the APR is judged against it.
Because 2nds have higher fees and rates especially on higher loan to value profiles, the APR on these loans may adjust to hit that ceiling.
Key word in all that wording is Fully Indexed Rate.
Fully Indexed means that the worst case scenario rate adjustments happen and the loan hits it's rate caps. So your ARM may start at 8 but could adjust to 14.

Don't want a ARM? Fixed rate 2nds are always available but the rates and fees are higher putting the loan into a possible Section 32 violation. APR is calculated to give a value to these fees in terms of a percentage.

In the end, the lender's answer is to just stop doing combo loans in many cases.
That said, I just approved a 1.2 million refi on a home for a $600,000 first and added a 145,000 HELOC at prime with no cost on the 2nd.

"But Mike, isn't that the opposite of what you just said?"

It is, but the good credit and the great Loan to Value was the difference.
The HELOC is a good idea for many different reasons but we're doing it as a security back up - a reserve account they can tap into in case of an emergency.

CPI and what it means

I last wrote about CPI 2 months ago (back in December).
It had to do with the November CPI and Core CPI data

Sometimes I like to go back and read what happened and why.
It gives you a perspective on how topsy turvy the markets can be sometimes.

Here's the post from December: LINK



Here's a rehash of the why and what of CPI:

It's put together by the Dept. of Labor and is a weighted average of prices of a specified set of goods and services purchased by consumers.

In simple terms, it tracks the prices of a "specified basket of consumer goods and services, providing a measure of inflation". It's considered a cost-of-living index.

When that shopping cart of goodies rises dramatically we have inflation.

You'll hear from time to time people referring to "Core Inflation".
Core Inflation is when you take the CPI numbers and back out the most volatile components - food and energy.

Why you ask?

Because these two groups can have dramatic mood swings, which then will skew the monthly numbers, which then might have even more dramatic results on the market.

Why do we care?
> CPI is very closely watched by the Feds.
> The Feds raise and lower short term interest rates.
> That changes influences the markets in general (not 30 yr mortgages)
> Which then determines how much investment money is out there for lenders to use and at what rates.

So other there are other reasons why we as members of society care about CPI than just how much it's going to cost us to live here, cloth our children in the latest fashions, and so on.

So back in December, when the CPI came out I reported the actual odds of the Fed's having a RATE CUT in the near future doubled!
That wasn't my odds, those were the odds given from large institutional types.

"Mike, you said a Rate Cut? All I hear about in the news is about the Fed's having to Raise rates - not lower them. What gives?"

Easy. Back in December, the November CPI was referred to as very tame.
In fact it was unchanged in both raw data and core data.

Since then we've had a number of other factors come into play.

First of which, the latest core inflation number bumped up .2%!
That's the largest jump since last June.
(the experts were expecting a number closer to .1%)

Then just last week, in talking to the nation's lawmakers, Mr. Bernanke said that "The Fed expects core inflation to drift lower, but cautioned that the Fed is poised to raise rates if necessary to contain inflation."

So...

• The core inflation figure they were expecting went up not down.
• Not only did it not go down, it doubled what they were expecting.
• And the "Head Fed" publicly and specifically announced their intentions concerning this indicator.

That's a clear cut signal to the big money playing with the odds that what might have been back in December, isn't anymore now in February.

In the end, the market is always right.
We can just sit back, try to make sense of it all, and enjoy the ride.

Odds are on the Fed's (part II)

Staying the same.

Here's the actual press release:



Federal Reserve Release, Press Release
Release Date: January 31, 2007


For immediate release

The Federal Open Market Committee decided today to keep its target for the federal funds rate at 5-1/4 percent.

Recent indicators have suggested somewhat firmer economic growth, and some tentative signs of stabilization have appeared in the housing market. Overall, the economy seems likely to expand at a moderate pace over coming quarters.

Readings on core inflation have improved modestly in recent months, and inflation pressures seem likely to moderate over time. However, the high level of resource utilization has the potential to sustain inflation pressures.

The Committee judges that some inflation risks remain. The extent and timing of any additional firming that may be needed to address these risks will depend on the evolution of the outlook for both inflation and economic growth, as implied by incoming information.

Voting for the FOMC monetary policy action were: Ben S. Bernanke, Chairman; Timothy F. Geithner, Vice Chairman; Susan S. Bies; Thomas M. Hoenig; Donald L. Kohn; Randall S. Kroszner; Cathy E. Minehan; Frederic S. Mishkin; Michael H. Moskow; William Poole; and Kevin M. Warsh.

Odds are on the Fed's

This is from MarketWatch.

http://www.marketwatch.com/news/economy/economic_calendar.asp

We'll find out exactly what the Feds are going to do at 11:15 AM today.
But notice the wording?

Personally, anytime I see the words "Odds of" I'm thinking that means betting to me.

Just goes to show, you can pretty much bet on anything -
even the odds of the Feds dropping or raising rates!

So if I read this right, there's a 61% chance the Fed's are going to raise or lower rates according the MarketWatcher's?


Federal Reserve Policy Forecast

Current policy	After FOMC meeting on	Kellner's forecast	MarketWatch survey median
Fed Funds: 5.25%
	Jan. 31	5.25%	5.25%
	March 21	5.50%	5.25%
	June 28	5.50%	5.25%
Odds of change from current policy
	Jan. 31	5%	4%
	March 21	55%	34%
	June 28	75%	61%

When the actual report comes out, I'll post a link here.

FOMC Tomorrow - Busy week

As you may know, the Fed's are meeting today.
It's a two day meeting where they'll announce tomorrow.
Statement will be released at 11:15 Pacific time.
I'll post a copy of it here.

So there's a pause in the markets today.
We've seen the 10 yr. react in a general upwards direction.
It opened this morning at 4.87%

It's still a matter of supply and demand but a simple and general rule to remember when it comes to rates is this:

Good economic news = Higher rates
Poor news = Lower rates

It's a gross generalization, and it still boils down to supply and demand, but it's something to put in the back of your head and think about.

There's a bunch of info hitting the markets this week.
Not only is it still Earnings Season, there's a ton of data to be reported this week.
Here's a cut and paste from a mortgage newsletter I get.
Most all of these play into what happens to rates!

Week of January 29 - February 03

Date	ET	Release	For	Actual	Briefing.com	Consensus	Prior	Revised From
Jan 30	10:00	Consumer Confidence	Jan		110.5	109.5	109.0
Jan 31	08:30	GDP-Adv.	Q4		3.0%	3.0%	2.0%
Jan 31	08:30	Chain Deflator-Adv.	Q4		1.5%	1.7%	1.9%
Jan 31	08:30	Employment Cost Index	Q4		0.9%	1.0%	1.0%
Jan 31	09:45	Chicago PMI	Jan		52.0	52.0	51.6
Jan 31	10:00	Construction Spending