As the news continues to proclaim that we are breaking free of this painful recession, mortgage rates continue to stay in a very tight range, remaining at extremely low levels. There is little doubt that this
is contributing to some positive news in the housing marketing. According to the S&P/Case-Shiller
20-city home price index, we’ve now gone two months with prices actually increasing. While there
are many elements necessary to moving out of this recession, stabilization in the housing market will
significantly contribute to overall economic recovery.
This week is a jam-packed week of important economic news. The ISM Manufacturing Index is
expected to tic over the 50-mark, indicating that manufacturing is finally expanding. Employment
data is also due on Friday, with expectations of minimal change to our present situation. Even if we
have good economic news, we could see rates not climbing too severely as lenders are beginning to
see lessening risks of foreclosures as the housing market shows signs of recovery.