The Market Bull – January 9, 2019
The major averages ended the day with modest gains on generally positive but not overly significant economic data. A 6th round of trade talks with China ends with little, if any progress. Mortgage activity surged last week as per the Mortgage Bankers Association Index after it jumped 23.5% for the week. Refi’s increased 35.3%, purchased apps gained 16.5% as both series snapped a string of losses.
As one would expect the 30-year contract rate for a jumbo loan fell sharply down 20 basis points to 4.52% a 40-week low.
As per the FDIC, 2018 was the first year with no bank failures since the pre-bust year of 2006.
Also noted by the FDIC, 2018 was only the 3rd year in the history of the FDIC dating to 1933 that featured zero bank failures.
Seattle area real estate sales data posts another disappointing result in December after sales fell 20% on a year ago basis, while inventory for sale was up 169% from a year ago. That said prices advanced for the month, and month’s supply remains quite low.
Standard and Poors 500 Index closed at: 2,584.96 up 10.55
NASDAQ finished the day: 6,957.08 up 60.08
Gold ended trading at: $1,294.50 up $8.60