Stock markets ended the week lower – This week ended with inflation fears erasing gains from last month’s record highs. All stock market indexes dropped, and interest rates rose on Friday after the Department of Labor and Statistics reported that the Producer Price Index rose 8.3% from one year ago. That marked the largest annual increase in prices that producers get for final demand goods and services since 2010. The Dow Jones Industrial Average closed the week at 34,607.72, down 2.2% from 35,369.01 last week. It is up 13.1% year-to-date. The S&P 500 closed the week at 4,458.58, down 1.7% from 4,534.43 last week. It is up 18.9% year-to-date. The NASDAQ closed the week at 15,115.49, down 1.6% from 15,363.52 last week. It is up 17.4% year-to-date.
U.S. Treasury bond yields – The 10-year treasury bond closed the week yielding 1.35%, up slightly from 1.33% last week. The 30-year treasury bond yield ended the week at 1.94%, unchanged from 1.94% last week. We watch bond yields because mortgage rates often follow treasury bond yields.
Mortgage rates – The September 9, 2021, Freddie Mac Primary Mortgage Survey reported mortgage rates for the most popular loan products as follows: The 30-year fixed mortgage rate was 2.88%, almost unchanged from 2.87% last week. The 15-year fixed was 2.19%, almost unchanged from 2.18% last week. The 5-year ARM was 2.42%, almost unchanged from 2.43% last week.
- Rodeo Realty, Inc.