The US Government was out with an updated reading of the economy on Friday, reporting that expansion of the economy continued at a moderate pace, while wage growth slowed. Ten years into the expansion we are still waiting for wages to pick up at an accelerated pace.
Per the Bureau of Labor & Statistics for the month of November:
- Nonfarm Payrolls +155,000 (Forecast 200,000)
- Jobless Rate 3.7% (Forecast 3.7%)
- Avg Hourly Earnings All Private Workers +0.2% (Forecast +0.3%)
What does this mean for mortgage rates? Interest rates have been dropping in the last few weeks as the expectation is for slower economic growth into 2019. The updated numbers above show an economy still growing, but not accelerating into higher gear, enforcing the expectation for slower growth.
In other financial news this week stocks and bonds were whipsawed with developing reports from the US and China in regards to tariff and trade agreements.
Have a good weekend!