Tag Archive for ‘macroeconomy’

Economic Growth Accelerates

In the second quarter of 2018, the nation’s economy grew at a faster pace than in the first quarter. According to the “advance” estimate released by the Bureau of Economic Analysis, real gross domestic product (GDP) increased at an annual rate of 4.1 percent in the second quarter of 2018. It was the strongest quarter of growth since the third… Read More ›

Slightly Longer Hours Worked Makes Up For Faster Inflation

The Bureau of Labor Statistics (BLS) reported that, on a seasonally adjusted basis, headline consumer prices, grew over the month of June, but at a slower pace than in May. The monthly slowdown partly reflected a decline in energy prices, electricity and utility (piped) gas specifically, although food prices accelerated over the month. Excluding energy and food prices, “core” inflation held… Read More ›

Mortgage Rates Remain Elevated

The Federal Housing Finance Agency reported that mortgage rates on purchases of newly built homes rose by seven basis points over the month of May 2018 to 4.51 percent, marking the seventh consecutive monthly increase. However, information compiled by Freddie Mac suggests that mortgage rates may have taken a breather in June. Despite the two basis points decline in mortgage… Read More ›

Consumer Prices Rise

The Bureau of Labor Statistics (BLS) reported that consumer inflation rose by 0.2 percent in May, similar to its growth rate in April. Both food and energy prices decelerated over the month, but the slowdown in these items was offset by an acceleration in core CPI to 0.2 percent, from 0.1 percent in April. Over the year, headline inflation climbed… Read More ›

First Quarter Economic Growth Confirmed

The Bureau of Economic Analysis (BEA) reported that economic growth, measured by the annualized growth rate of real GDP, was revised to 2.2 percent from the advance estimate of 2.3 percent. The modest downward revision confirms the extent of economic growth over the first quarter of the year. The second estimate of first quarter GDP also included the first estimate… Read More ›

Banks See Weaker Demand for Business and CRE Loans

The Federal Reserve Board’s Senior Loan Officer Opinion Survey showed that lending standards on commercial and industrial (C&I) loans eased over the first quarter of 2018. At the same time, lending standards on commercial real estate (CRE) loans tightened, but at a slower pace than last quarter. Importantly a net share of banks noted that demand for both C&I and… Read More ›

Core Inflation Slows in April

Following a decline in March, the Bureau of Labor Statistics reported that consumer prices rose by 0.2 percent over the month of April, largely reflecting energy and food prices as well as shelter prices. Excluding energy and food prices, “core” inflation decelerated from 0.2 percent to 0.1 percent as shelter prices, which represent the largest share of the consumer price… Read More ›

Mortgage Rates Climb in April

According to the Federal Housing Finance Agency (FHFA), mortgage rates continue to rise and this is confirmed by data from Freddie Mac. The short end of the yield curve, which is most sensitive to monetary policy, has been the primary force behind the increase in mortgage rates. In recent years, short-term rates have put upward pressure on mortgage rates while… Read More ›