Blog

9/16/2014

Economic Commentary Employment Report Analysis At first blush, it appeared that the jobs report was disappointing. The addition of 142,000 jobs in August was much less than the average of over two hundred thousand for the previous six months. Yet, the day of the report, the stock market reacted positively and interest rates did not fall as expected. What could have caused this "adverse" reaction? To us there are three possibilities. First, the same day as the jobs report, a cease fire was signed in Ukraine. As we have said previous...

September 16th, 2014 9/16/2014

Breaking News

Do You Remember Inflation? While some may consider this a sarcastic question...we have not had really high inflation in the United States for some time. For example, in the past twenty years the retail inflation rate has averaged approximately 2.25% with an even lower number for the past decade. Two points about this. First, even low inflation rates can cause increases in the cost of living. For example, a 2.25% inflation rate over 20 years will increase the cost of living over 50%. Secondly, though low inflation rates can create issues in the long run, those who are older remember a U.S. i...

July 22nd, 2014 Breaking News

What is a HARP 2

Home Affordable Refinance Program® (HARP) Return to index If Freddie Mac owns your mortgage and you are timely with your mortgage payments but unable to refinance because you have little or no equity in the home, you may be able to refinance to a lower interest rate or more stable mortgage through the federal Home Affordable Refinance Program® (HARP). This program is designed for homeowners who have not been able to refinance due to a decline in the value of their home. Visit our secure Loan Look-up tool to see if Freddie Mac owns your loan. Freddie Mac's implementatio...

July 22nd, 2014 What is a HARP 2

Is Recession Over?

Economic Commentary Still Work To Be Done As the euphoria wears off in the aftermath of our stellar June employment release, we realize that there is still work to be done in order to fully recover from the financial crisis and deep recession. The recovery has been going on for five long-years, but it is still not fully mature. For example, while we have recovered all jobs lost during the recession, we have not added enough jobs to accommodate the population growth that has occurred during and since the recession. Even at today's increase...

July 15th, 2014 Is Recession Over?

Income

Federal Reserve Press Release – Gumped Information received since the Federal Open Market Committee met in October indicates that economic activity is expanding at a moderate pace. Labor market conditions have shown further improvement; the unemployment rate has declined but remains elevated. Household spending and business fixed investment advanced, while the recovery in the housing sector slowed somewhat in recent months. Fiscal policy is restraining economic growth, although the extent of restraint may be diminishing. Inflation has been running below the Committee's longer-...

May 19th, 2014 Income