The Consumer Price Index was scheduled to be released this week but has once again been delayed, with no explanation provided. This left the unemployment data as the only notable economic release from last week. The data showed that unemployment numbers came in higher than expected; however, this result is somewhat tempered by the fact that the figures are supported by a more limited data set.

Even so, it is not a positive sign that unemployment numbers are exceeding expectations under these circumstances. At this time, there is still no word on when the Consumer Price Index will be released, with the Christmas holiday fast approaching.

Unemployment Report
Unemployment rate climbs to 4-year high of 4.6%, November jobs report shows. The economy lost 105,000 jobs in October and added 64,000 new jobs in November, the government said, in an otherwise lackluster employment report that was skewed by the deferred resignations of federal workers.

Primary Mortgage Market Survey Index
• 15-Yr FRM rates saw a decrease of -0.07% for this week, with the current rate at 5.47%
• 30-Yr FRM rates saw a decrease of -0.01% for this week, with the current rate at 6.21%

MND Rate Index
• 30-Yr FHA rates saw a decrease of -0.02% for this week. Current rates at 5.88%
• 30-Yr VA rates saw a decrease of -0.03% for this week. Current rates at 5.89%

Jobless Claims
Initial Claims were reported to be 224,000 compared to the expected claims of 225,000. The prior week landed at 237,000.

What’s Ahead
With Christmas Holiday on the horizon, there will be very little in the way of reports released.

The Federal Reserve Interest Rate decision occurred the prior week, with the Federal Reserve cutting interest rates another quarter as expected by many industry analysts. This has given the market a lot of optimism that the trend will still continue and the Chairman Jerome Powell has stated it’s a good time to wait and see where the economy is headed before cutting rates further, giving further confidence more will be coming next year.

There was also the U.S. Trade Deficit to gauge where the current trade policies have positioned the U.S. and it has been reported that the expectations for the trade deficit have been beat this time by a significant amount. With the economy still in an overall strong position, there is some optimism that the tariff policies have not had as negative an impact as initially presumed. 

Federal Reserve Rate Decision
The Federal Reserve on Wednesday lowered interest rates again in a continued effort to keep the labor market intact, despite objections from several key Fed officials who believe the central bank should be prioritizing the higher cost of living instead. A majority of policymakers voted to lower the benchmark lending rate by a quarter point for the third consecutive time, to a range of between 3.5% to 3.75%, the lowest in more than three years. 

U.S. Trade Deficit
The U.S. Census Bureau and the U.S. Bureau of Economic Analysis announced today that the goods and services deficit was $52.8 billion in September, down $6.4 billion from $59.3 billion in August, revised.

Primary Mortgage Market Survey Index
• 15-Yr FRM rates saw an increase of 0.10% for this week, with the current rate at 5.54%
• 30-Yr FRM rates saw an increase of 0.03% for this week, with the current rate at 6.22%

MND Rate Index
• 30-Yr FHA rates saw an increase of 0.01% for this week. Current rates at 5.90%
• 30-Yr VA rates saw an increase of 0.02% for this week. Current rates at 5.92%

Jobless Claims
Initial Claims were reported to be 236,000 compared to the expected claims of 223,000. The prior week landed at 192,000.

What’s Ahead
GDP data are expected to release this month but there may be delays. The Consumer Confidence report will also give better insight to the state of the economy from the consumer perspective.