Forecast for the Week 
The calendar is busy this week, with important news from start to finish.
- The week kicks off Monday with Durable Goods Orders, which are orders for items that last for an extended period of time.
- In housing news, the S&P/Case-Shiller Home Price Index will be released on Tuesday.
- Consumer Confidence will also be released on Tuesday with the Consumer Sentiment Index following on Friday.
- As usual, Weekly Initial Jobless Claims will be released on Thursday, as claims hover near six-year lows.
- Also on Thursday, Gross Domestic Product for the second quarter will be closely watched for any signs of an uptick in economic growth. The initial reading was a rather weak 1.7 percent.
- Ending the week on Friday, we’ll see Personal Consumption Expenditures, the Fed’s favorite read on inflation, along with Personal Income, Personal Spending, and Chicago PMI data.
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 were able to stabilize last week. Home loan rates remain attractive and I will continue to monitor them closely.
Chart: Fannie Mae 3.0% Mortgage Bond (Friday August 23, 2013)
The Mortgage Market Guide View…
How to Make Free Calls
Software and apps you can install on your computer or smart phone can help you save money on calls.
By Cameron Huddleston, Kiplinger.com
You’ve likely heard that ditching your landline is a good money-saving move. But if you’re relying on your mobile phone to make all your calls, you might have to pay more to get unlimited minutes. So to keep costs down, consider using a free Internet calling service. There are several you can download to your computer, smart phone or tablet. These services also are ideal for people who make international calls and for college students who want to keep in touch with friends and families. Because they’re free, you can try out all of the services below to see which works best for you.
Skype. To use Skype, you need an Internet connection and a computer or mobile device with a microphone and speakers. It only takes a few minutes to install it and create an account with a username that will serve as your contact information (rather than a phone number). Then you can make free voice and video calls (if you have a webcam) to other Skype users. You also can use Skype for instant messaging and file sharing.
Viber. Unlike Skype, Viber doesn’t require you to create an account with a username. Instead, it uses your mobile phone number. So you must first install it on your smart phone. Then you can install it on your computer if you want. In addition to free voice and video calls, Viber offers free text and photo messaging and location sharing with other Viber users. Just make sure you use a Wi-Fi connection rather than 3G so you don’t use your phone’s data.
Vonage Mobile. This relatively new Android and iPhone app lets users make free voice and video calls and send free text messages to others with the app. You also can use it to make free calls to Vonage home phone customers. Like Viber, it uses your mobile phone number as your caller ID.
Reprinted with permission. All Contents ©2013 The Kiplinger Washington Editors. Kiplinger.com.
Economic Calendar for the Week of August 26 – August 30
|
Date
|
ET
|
Economic Report
|
For
|
Estimate
|
Actual
|
Prior
|
Impact
|
| Mon. August 26 |
08:30
|
Durable Goods Orders |
Jul
|
NA
|
3.9%
|
Moderate
|
|
| Tue. August 27 |
09:00
|
S&P/Case-Shiller Home Price Index |
Jun
|
NA
|
12.2%
|
Moderate
|
|
| Tue. August 27 |
10:00
|
Consumer Confidence |
Aug
|
NA
|
80.3
|
Moderate
|
|
| Wed. August 28 |
10:00
|
Pending Home Sales |
Jul
|
NA
|
-0.4%
|
Moderate
|
|
| Thu. August 29 |
08:30
|
GDP Chain Deflator |
Q2
|
NA
|
0.7%
|
Moderate
|
|
| Thu. August 29 |
08:30
|
Gross Domestic Product (GDP) |
Q2
|
NA
|
1.7%
|
Moderate
|
|
| Thu. August 29 |
08:30
|
Jobless Claims (Initial) |
8/24
|
NA
|
NA
|
Moderate
|
|
| Fri. August 30 |
08:30
|
Personal Income |
Jul
|
NA
|
0.3%
|
Moderate
|
|
| Fri. August 30 |
08:30
|
Personal Spending |
Jul
|
NA
|
0.5%
|
Moderate
|
|
| Fri. August 30 |
08:30
|
Personal Consumption Expenditures and Core PCE |
Jul
|
NA
|
0.2%
|
HIGH
|
|
| Fri. August 30 |
08:30
|
Personal Consumption Expenditures and Core PCE |
YOY
|
NA
|
1.2%
|
HIGH
|
|
| Fri. August 30 |
08:30
|
Consumer Sentiment Index (UoM) |
Aug
|
NA
|
80.0
|
Moderate
|
|
| Fri. August 30 |
09:45
|
Chicago PMI |
Aug
|
NA
|
52.3
|
HIGH
|
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Mortgage Info By Michelle Wickett 