Bernanke: Economy Weaking - Rates Dive

Mortgage rates were down today after remarks made by Ben Bernanke, the Fed Chairman. Bernanke in a speech confirmed his belief that the economy is in a weak position and getting worse. He asked Congress for stimulus to help avoid a recession. The stock markets also reacted negatively and posted large declines. The Beige Book which was reported yesterday also confirmed in detail that the economy is slowing through the United States. Today's December Housing Starts also confirmed the well-established fact that the housing sector is in serious trouble. Housing starts dropped over 14%, much weaker than expected and the lowest level in 17 years. On deck for tomorrow is December's Leading Economic Inidicators and the University of Michigan's preliminary Index of Consumer Sentiment for December. Both have the potential to affect mortgage rates depending on their readings.

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30 Year Fixed   5.71
15 Year Fixed   5.55
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