Lost Jobs As We Head the Wrong Way

Ick.  Today's Jobs Report from the government indicated a loss of 80,000 jobs in March.  They also threw in revisions to the January and February reports to account for another 40,000 lost jobs during those months.

The talking heads in the media & government continue to "debate" whether or not we are in a recession while everyday Americans live one.

In fact, a recent poll from the New York Time/CBS News release yesterday they found that Americans are in the gloomiest moods about our economy since they started that polling ba in the early 1990's.

81% of American think the country is "on the wrong track."  I sure do.  What do you think?

Back to that dismal Jobs Report;  we might see a small improvement in mortgage rate pricing off of it but the way the markets are trading we are not getting anything like we used to off the news.  Why?

Because there aren't any investors who want to buy mortgage debt.  In recent years we had historic demand from investors to buy mortgage debt and that is why rates were so low and the programs a plenty to get someone a home.  Not so anymore.

That dynamic will continue for some time.  So, even as we are likely to continue to see weakening economic news in the months ahead we won't see the normal improvement in mortgage rates.  That relationship is from the past.  The current one is one of complete disconnect. 

Well, I'll be speaking to students at Michigan State University next Monday & Tuesday and be back posting on the blog when I return.

Have a good weekend,

Brett