Weekly Info 10/22/2011

Mortgage interest rates improved slightly on the week on mixed economic data. Economic data better than expected included the October NAHB Housing Market Index, September Housing Starts, weekly jobless claims, and the October Philadelphia Fed Business Index. Economic data weaker than expected included the October New York Empire State Manufacturing Index, September Building Permits, and September Existing Home Sales. Inflation data was generally in line with expectations. However, the overall Producer Price Index (PPI), a measure of wholesale prices, was up 0.8% on expectations that it would be up 0.2%. Uncertainty persists surrounding the European sovereign debt crisis. German officials are saying that a deal will be resolved by next Wednesday. Yesterday the Greece Parliament voted to cut spending, appearing to meet the demands of the ECB, IMF, and EU for additional aid.