Thus us a note on cnn.money. The bottom line is great. Maybe oil up 8% in a week is of some concern for those who never see inflation. Saving my pennies to buy, buy, buy when most will sell, sell, sell!
Short-term mortgage rates jumped after the Federal Reserve hiked interest rates 17 times by a quarter-point each time since June 2004. The rising rates and several years of double-digit price surges crimped home affordability and dashed incentive for the home refinancings that were driving loan production.
"Long-term interest rates have remained low in the face of rising short-term rates, equity prices have risen nearly 20 percent, capital expenditures remain strong, the trade sector has turned from a big drag on growth to a modest stimulus and energy prices have dropped sharply," Duncan said of his forecast for longer-term stability.
The Fed likely will keep interest rates unchanged with the federal funds rate at 5.25 percent rate through 2008, the trade group predicts.