• Ashley Ortega
  • News
  • Market Recap: Job Openings Slide, Mortgage Applications Drop, and Retail Sales Recover

Market Recap: Job Openings Slide, Mortgage Applications Drop, and Retail Sales Recover

  • October 13, 2017

Mortgage rates trended slightly downward this week, though there are no significant changes to report.  The Labor Department’s Job Openings and Labor Turnover Survey (JOLTS) declined slightly as the unemployment rate dropped to a historical low.  The Mortgage Bankers Association (MBA) reported both new purchase and refinance applications declined last week.  The Commerce Department reported that retail sales are up.

In August, job openings declined 0.9% to a level of approximately 6.1 million.  With the unemployment rate down to a 4.2%, a 16-year low, employers are struggling to find the right employees to fill positions.  Hirings and voluntary quits are also down.  According to this report, the job market is still healthy, but job-related activity has slowed. 

For the week ending 10/6, refinance applications dropped 4.0% and after two weeks of steady increases, new purchase applications dropped slightly down 0.1%, for a composite decrease of 2.1%.  Mortgage rates have not moved much in the past couple of weeks, hovering year-long lows.

After declining 0.2% in August, retail sales rebounded substantially in September, up 1.6% month-over-month, the most significant increase in 2 ½ years.  Less autos, sales are up 1.0%, and less autos and gas sales are up 0.5%.  The substantial increase in automotive sales may be due in part to Texans and Floridians replacing hurricane-damaged vehicles. 

Recent jobs reports are reflecting that the economy has neared full employment.  Strong jobs reports are good news for the housing market.  Comments from Federal Reserve officials, including Fed Chair Janet Yellen, are supportive of one more rate hike in 2017.  Mortgage rates have not reacted much to this speculation and continue to hold near year-long lows. 


Sources: Bloomberg, CNBC, MarketWatch, Mortgage News Daily

Ashley Ortega
Loan Officer
NMLS # 238561
Branch NMLS # 920781

Ashley Ortega

PHONE: (619) 554-1905

CMG Image
© CMG Financial, All Rights Reserved. CMG Financial is a registered trade name of CMG Mortgage, Inc., NMLS ID #1820 in most, but not all states. CMG Mortgage, Inc. is an equal opportunity lender with corporate office located at 3160 Crow Canyon Road, Suite 400, San Ramon, CA 94583 888-264-4663. Licensed by the Department of Business Oversight under the California Residential Mortgage Lending Act No. 4150025; AK #AK1820; AZ #0903132; Colorado regulated by the Division of Real Estate; Georgia Residential Mortgage Licensee #15438; Illinois Residential Mortgage Licensee; Kansas Licensed Mortgage Company #MC.0001160; Massachusetts Mortgage Lender License #MC1820 and Mortgage Broker License #MC1820; Mississippi Licensed Mortgage Company Licensed by the Mississippi Department of Banking and Consumer Finance; Licensed by the New Hampshire Banking Department; Licensed by the NJ Department of Banking and Insurance; Licensed Mortgage Banker – NYS Department of Financial Services; Ohio Mortgage Broker Act Mortgage Banker Exemption #MBMB.850204.000; Licensed by the Oregon Division of Financial Regulation #ML-3000; Rhode Island Licensed Lender #20142986LL; and Licensed by the Virginia State Corporation Commission #MC-5521. CMG Mortgage, Inc. is licensed in all 50 states and the District of Columbia. Offer of credit is subject to credit approval. For information about our company, please visit us at www.cmgfi.com. To verify our complete list of state licenses, please visit www.cmgfi.com/corporate/licensing and NMLS Consumer Access (www.nmlsconsumeraccess.org).