Mortgage rates tumble as housing starts to drag down the economy
Rates for home loans tumbled in line with the broader bond market, even as the housing market’s woes threatened to become a headwind for the entire U.S. economy. The 30-year fixed-rate mortgage averaged 4.53% during the Aug. 16 week, down six basis points, according to the weekly data from mortgage provider Freddie Mac. The 15-year fixed-rate mortgage averaged 4.01%, down from 4.05%. The 5-year Treasury-indexed hybrid adjustable-rate mortgage averaged 3.87%, down three basis points. Read @ https://www.marketwatch.com/story/mortgage-rates-tumble-as-housing-starts-to-drag-down-the-economy-2018-08-16
Emails show RBS bankers joked about destroying the US housing market before 2008
- Emails released by the US Department of Justice (DOJ) show RBS bankers joking about destroying the housing market before the 2008 crash.
- RBS’s chief credit officer described the products he was selling to investors as “total f****** garbage” loans with “fraud [that] was so rampant … [and] all random.”
- The DOJ said the bank made “false and misleading representations” to sell more mortgage-backed securities, adding that senior executives “showed little regard for their misconduct and, internally, made light of it.”
- RBS paid $4.9 billion earlier this year to settle the investigation.
Oil prices fall amid fears over global economic growth
Brent crude oil futures LCOc1 were down 5 cents at $71.38 a barrel by 0050 GMT. U.S. West Texas Intermediate (WTI) crude futures CLc1 dropped 4 cents to $65.42 a barrel. Brent is heading for a 2 percent decline this week, a third consecutive weekly drop. WTI is on track for a seventh week of losses, with a fall of more than 3 percent. Data on Wednesday showing a large build in U.S. inventories fostered fears about the outlook for fuel demand, while crude was also pressured by broader selling of industrial commodities and by the Turkish financial crisis. Read @ https://www.reuters.com/article/us-global-oil/oil-prices-fall-amid-fears-over-global-economic-growth-idUSKBN1L203M?feedType=RSS&feedName=businessNews&utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+reuters%2FbusinessNews+%28Business+News%29
WHAT IS THE USD SAYING?
USD saying firm above the $96 – after the housing market data weakens; overall the USD is still firm. USD is now re-testing the Support @ Hourly chart and on the daily chart is firm for a next rally. Do take note September rate hike is in progress.
GOLD has taken the third wave and is consolidating for a next move. 1180 is the support for Gold. The question now is all about FOMC decision this September; however the OIL is already showing signal of slowing global economy and therefore the GOLD might get back to safe haven status.
TODAYS NEWS THAT MIGHT AFFECT YOUR TECHNICAL TRADES.
- 4.00pm – Euro will release their current account – expected to be good.
- 5.00pm – EURO will release very important data the CPI – expect good volatility in favor for the EURO.
- 8.30pm – Time for CAD big move tonight; expected to be in favor for the CAD. CPI data is expected to be good.
- 10.00pm – US will release Uom Sentiment and is expected to be good.
Overall the market still stays cautious and volatile; news are from all over and the market stays confused. Always keep in mind good money management approach and never ever over-trade.
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