Weekly Basis 11/15/05: Reprieve from Rising Rates

I mentioned last week we might have a reprieve from rising rates, and thankfully, that’s what we got. Rates are even this week over last. And so far, we’re seeing more of the same. Markets are trading mostly on inflation data this week, with Producer Prices today and Consumer Prices tomorrow. Producer Prices were slightly higher than expectations, but due mostly to volatile food and energy prices, which brought rates up. But Fed chairman nominee Ben Bernanke’s confirmation hearings are in progress right now, and he alluded to the Fed’s rate hike campaign as being effective in keeping inflation under control – rates dipped back down on these comments. I predict tomorrow’s CPI number will also be influenced by higher energy prices. But unless it is way out of line, we may be in for another relatively flat week.

Conforming ($200,000 – $359,650) – NO POINTS
30 Year: 6.25% (6.39% APR)
15 Year: 5.875% (6.015% APR)
5/1 ARM: 6.0% (6.15% APR)

Jumbo ($359,651 – $650,000) – NO POINTS
30 Year: 6.625% (6.765% APR)
15 Year: 6.25% (6.39% APR)
5/1 ARM: 6.125% (6.275% APR)