In this week’s economic review, the headline of the holiday week was brisk growth in the workforce. Mortgage applications increased as mortgage rates eased.
June’s employment report was healthy and showed solid movement with an expected increase of 213,000 to nonfarm payrolls. There was a sharp increase (approximately 0.5 million) in the number of unemployed actively looking for a job, lifting the participation rate 2 tenths to 62.9 percent.
Average hourly earnings rose just 0.2 percent in the month and remains unchanged year-over-year. The average workweek for all employees was unchanged at 34.5 hours.
This week in the economy:
- As of June 5th, the 30-year average fixed rate was 4.52% with 0.5 points, according to Freddie Mac.
- In the week of June 29th, the purchase index rose a seasonally adjusted 1 percent as refinancing applications continued their descent, down 2 percent from the previous week. Unadjusted, purchase applications are 1.4 percent down from a year ago.
- In the week of June 30th, initial jobless inched up 3,000 higher to a level of 231,000. The 4-week average is also trending higher, up 2,250 to 224,500.
- The Bloomberg Consumer Comfort Index rose 3 tenths in the week of July 1 to a level of 57.6. In the last three weeks, the index has added nearly 2 points.
The economic calendar for the week of July 9th, 2018:
- Monday – Consumer Credit
- Tuesday– JOLTS
- Wednesday – MBA Mortgage Applications
- Thursday–Jobless Claims, Bloomberg Consumer Comfort Index, Consumer Price Index
- Friday– Consumer Sentiment
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