Economic update for the week ending November 10, 2018
Crude Oil $59.87 - Gold $1,210.30 - Silver $14.13 - EUR/USD $1.13
Stock markets finished higher for a second straight week - Stocks markets have gained 5% in the last two weeks. That has made up about 1/2 of October’s drop. We are now just 5% below the all-time highs set in September. The Dow Jones Industrial Average closed the week at 25,989.30, up from 25,270.23 last week. It is up 5.1% year to date. The S&P 500 closed the week at 2,781.01, up from 2,723.06 last week. It’s up 4.0% year to date. The NASDAQ closed the week at 7,406.90, up from 7,356.99 last week. It’s up 7.3% year to date.
Treasury Bond Yields slightly lower this week - The 10 year Treasury bond closed the week yielding 3.19%, down from 3.22% last week. The 30 year Treasury bond yield ended the week at 3.40%, down from 3.46% last week. We watch Treasury bond yields because mortgage rates follow bond yields.
Mortgage rates were higher this week - The November 8, 2018 Freddie Mac Primary Mortgage Survey reported that the 30 year fixed mortgage rate average was 4.94%, up from 4.83% last week. The 15 year fixed was 4.33%, up from 4.23% last week. The 5 year ARM was 4.14%, up from 4.04% last week.
How long does it take to build credit history? - If you ever plan to buy a house, establishing a track record of past payments is essential, because it proves to mortgage lenders that you've paid people back. Which means they'll be more apt to loan you money for a home. Still, if you have no credit history, because you're young or just never bothered, here's the straight dope. Done right, it can take as little as six months. Done wrong? It can take several years. So if you're in a rush to establish credit to buy a home, you'll want to know the right way to go about it! Heed this advice to learn what to do.
Also know that when it comes to mortgages, your credit score is just one piece of a larger puzzle. According to Lynch, your lender will also look at your employment history, how long you’ve lived at your current residence, and your credit references.