Weekly Information 10/5

Mortgage interest rates improved slightly this past week despite generally stronger than expected economic data. Today’s employment report for October showed non-farm payroll gains of 151k on expectations that 60k jobs would be added. September and August non-farm payrolls were revised upward by 110k. The unemployment rate remained unchanged at 9.6%. Other reports better than expected included September Construction Spending, the October ISM Manufacturing Index, the October ISM Services Sector Index, and September Factory Orders. Weekly jobless claims, though, increased more than expected, up 20k on expectations that they would be up only 11k. Also of note, the Fed announced at the conclusion of its FOMC meeting that it will purchase $600 billion in Treasuries over the next six to eight months to help support low interest rates.