Forecast for the Week 

The Bond market will close early on Thursday and both the Stock and Bond markets will be closed on Friday for the Good Friday holiday. But there will be plenty of important news before then.

• We’ll get a sense of how the consumer is feeling with Tuesday’s Consumer Confidence Report and Friday’s Consumer Sentiment Index, both for March.
• We’ll also get a sense of how the economy is doing with Tuesday’s Durable Goods Orders, which tracks orders on big ticket items used for an extended period of time, and Thursday’s 2012 Q4 Gross Domestic Product (Third Estimate).
• A triple dose of housing news is ahead with Tuesday’s New Home Sales and Case-Shiller Home Price Index, followed by Pending Home Sales on Wednesday.
• Weekly Initial Jobless Claims will be reported on Thursday along with the manufacturing sector’s Chicago PMI Report.
• Ending the week, Personal Consumption Expenditures, the Fed’s favorite measure of inflation, Personal Income and Personal Spending will be reported on Friday.

Remember: Weak economic news normally causes money to flow out of Stocks and into Bonds, helping Bonds and home loan rates improve, while strong economic news normally has the opposite result. The chart below shows Mortgage Backed Securities (MBS), which are the type of Bond that home loan rates are based on.

When you see these Bond prices moving higher, it means home loan rates are improving — and when they are moving lower, home loan rates are getting worse.

To go one step further — a red “candle” means that MBS worsened during the day, while a green “candle” means MBS improved during the day. Depending on how dramatic the changes were on any given day, this can cause rate changes throughout the day, as well as on the rate sheets we start with each morning.

As you can see in the chart below, Bonds and home loan rates remain near record best levels. I will continue to watch this closely.

The Mortgage Market Guide View… 

Social Media Spotlight Networking on LinkedIn Made Easy

Depending on how you use it, social media can be a fantastic source of new business, a bit of amusement around lunchtime, or a tremendous waste of time. LinkedIn is one of those social networks most people don’t think of immediately as a social network, but when you’re looking to grow your business contacts–and actually get some new business along the way–look no further than LinkedIn.

Before we reveal the most effective way to use it, here are a few interesting statistics and a link to an enlightening infographic on LinkedIn:

37.6 percent of users say LinkedIn has helped them build new relationships with potential customers…

44.5 percent of users say LinkedIn has helped them increase face-to-face networking effectiveness…

49.7 percent of users say LinkedIn has built new networking relationships with individuals who may influence potential customers…

So, how can you use LinkedIn to get more business?

Make sure your profile is 100% complete. Over 50% of profiles are incomplete, but a complete profile is the best way to sell “you” without selling at all. Listing your accomplishments, building your recommendations, listing your favorite business books, connecting your blog, attaching PowerPoint presentations, and being thorough (and interesting) with your background information all combine to make potential business connections feel like they know you a little bit already.

Connect with people you don’t already know. LinkedIn recommends you only connect with people you already know, but advice around the web advises connecting with anyone who asks and asking those you want to know–but this advice comes with one very important caveat: always follow up with your new connections. Ask about their business and talk about the kinds of business you’re both looking for. Do you know anyone they need to know or vice-versa? If it appears there might be a foundation to build on, set up a phone call or meet over coffee to discuss things further.

Don’t expect it to do all the work for you. Just having a half-completed profile will not get you any new business. But let’s face it: making contacts online is easier than going door-to-door looking for new business.

LinkedIn is a powerful social network and networking tool for professionals and getting new business is not nearly as complicated as it first appears. Make sure to pass these tips along to your clients and colleagues–and happy networking!

Economic Calendar for the Week of March 25 – March 29

The material contained in this newsletter is provided by a third party to real estate, financial services and other professionals only for their use and the use of their clients. The material provided is for informational and educational purposes only and should not be construed as investment and/or mortgage advice. Although the material is deemed to be accurate and reliable, we do not make any representations as to its accuracy or completeness and as a result, there is no guarantee it is without errors.