WASHINGTON— Average U.S. long-term mortgage rates arrested their five-week decline this week but the benchmark 30- year loan remained below 4 percent. Mortgage company Freddie Mac said Thursday the nationwide average for a 30- year mortgage rose to 3.98 percent from 3.92 percent last week. Applications for "re-fi's" jumped 23 percent in the week ended Oct. 17—...» Read More
Most homeowners probably don't know what it is--or even how to pronounce it. But the London Interbank Offered Rate, or Libor, is having a noticeable impact on adjustable rate mortgages.
Turmoil stemming from subprime mortgage delinquencies could dampen demand for homes and ultimately slow economic growth, Federal Reserve Governor Randall Kroszner said Thursday.
Turbulence buffeting global financial markets risks tipping economies into recession but policy makers must avoid overreacting to it for fear of making the situation worse, St. Louis Federal Reserve Bank President William Poole said on Thursday.
European stocks closed broadly higher Thursday after Europe's two most prominent central banks left rates unchanged to fully assess the effect of the recent turmoil in financial markets.
U.S. service sector growth held steady in August, although employment conditions deteriorated to their weakest level in nearly five years, according to a report released Thursday.
Looks like Costco's disappointing August store sales was an anomaly. The good news is that retailers beat expectations, almost across the board. A number of retailers noted that some school districts in Texas and Florida went back to school a week later, which gave a boost in August.
Another rise in euro-zone interest rates looked assured last month, but the turmoil in the credit markets has brought pressure on European Central Bank President Jean-Claude Trichet to keep rates at 4%.
The European Central Bank added 42.245 billion euros ($57.66 billion) in temporary overnight funds to money markets on Thursday to ease tensions on the euro interbank lending market.
A gauge of U.S. labor demand was higher in August but recruitment activity recovered lessthan it typically does in the month, in another sign of a cooling job market, a report said Thursday.
Financial market turbulence leading to tighter mortgage lending standards noticeably hurt housing activity in most Federal Reserve districts in recent weeks, adding uncertainty about the recovery of the downtrodden housing sector, the Fed said on Wednesday.
Stocks closed broadly lower and the Dow saw a triple-digit loss amid mixed signals from the Federal Reserve and weak economic data. "I think the market is going through a tremendous amount of uncertainties," said John Manley, private client strategist at Smith Barney.
Pending sales of existing U.S. homes plunged by a record 12.2 percent in July, and private employers hired the fewest workers in more than four years in August, according to reports released Wednesday that point to a weakening U.S. economy.
I couldn’t have been less welcome if I were a subprime borrower begging a bank for a jumbo loan. There I stood, in the early September heat, smack in front of the visitor's entrance of the Federal Reserve, as the CEOs of the nation’s very top home builders filed out of a meeting with the Fed Chairman. They may not have marched in lock step, but their refusal to talk to me was in dead-bolt lock step.
Ben Bernanke's comments last week that "we will pay particularly close attention to the timeliest indicators, as well as information gleaned from our business and banking contacts around the country" is causing traders to focus their attention on the Beige Book, which is out at 2:00 today.
Euro zone growth next year could be weakened by the credit crisis triggered by high-risk U.S. mortgage debt, the chairman of euro zone finance ministers, Jean-Claude Juncker, said on Wednesday.
Futures lower this morning for several reasons: 1) LIBOR (London Interbank Offering Rate) higher in London; this is important becuase a large amount of corporate financing is tied to it. 2) Challenger, Gray & Christmas August job cuts up 85% from July, 21.7% from same period last year.
Applications for U.S. home loans rose last week, while the highest adjustable rate mortgages in over six years put another nail in the coffin of the once-torrid sector, an industry group's data showed on Wednesday.
The Reserve Bank of Australia (RBA) said Wednesday its board decided to leave the cash target rate at 6.50 percent after Tuesday's monthly policy meeting.
Richmond Federal Reserve Bank President Jeffrey Lacker said on Tuesday he would back an interest rate cut if the evidence pointed to slowing U.S. economic growth and diminished inflation, but he warned that this outcome was by no means automatic.
All 12 regional Federal Reserve banks asked the U.S. central bank's board to hold the cost of emergency loans steady in July and the first week of August, with most bank directors seeing little threat from tightening credit conditions.