Fundamentals 11/9: Europe Angst Helps Rates

Mortgage Applications
-Purchase Index, Week/Week +4.8 %
-Refinance Index, Week/Week +12.1 %
-Composite Index, Week/Week +10.3 %
-Lower rates = more mortgage applications.

Wholesale Inventories
-Inventories – Month/Month change -0.1%
-This relates to the Consumer Metrics Institute Absolute Demand Index which had fallen from October 29 to November 6 and finally stopped falling yesterday. The point is that GDP growth in this quarter looks disappointing – so far.

They moved the Eurozone Debt Crisis Tour to Italy this week. Unlike the debt of Greece, Italian debt is widely held. Angst regarding Italy is benefiting mortgage rates.