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Last Big Data

Last week we had the last big data releases before the Federal Reserve Board’s Open Market Committee meets next week. This data included the first revision of the 3rd Quarter economic growth and personal income and spending. These reports came in on the strong side, with the economic growth revised higher and personal income and spending solid as well. Personal spending for October is especially important, because November is the start of the holiday shopping season. The money made in October certainly affects Black Friday sales.

The most important data was released on Friday, which was November’s jobs report. Nothing affects the economy more than the growth of jobs. Thus far this year, we have had strong, but not explosive jobs growth. Friday’s numbers came in at 178,000 jobs added, and a drop in the unemployment rate to 4.6% from 4.9%. While the headline number was much stronger than expected, the number of jobs created came in near expectations and the previous month was revised down by 20,000 jobs. This means that the lower unemployment rate was at least partially due to a shrinking labor force.

Just as important, wage growth came in at below expectations on a month-to-month basis, but slightly higher than expectations on a yearly basis, which was a mixed bag. Why is wage growth so important? The Fed is looking for any evidence of inflation to buttress their decision on rates. Right now, it is expected that the Fed will raise rates next week, but we don’t know by how much and what might be coming afterwards. This jobs report, taken together with the additional data released this week, certainly gives the Fed enough ammunition to support an increase. However, it is not clear that they have a mandate for anything above the expected 0.25%.

December 6, 2016

Source: Origination Pro

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Testimonials

Eli N

Benny and Phil were great to work with! they assisted us in every aspect of the process even when it wasn’t their job. They explained every step and guided/advised us on the best course of action. Their fees were more than fair and their integrity was at a level far above ANY lawyer or mortgage broker we have ever dealt with.

Joe D.

Philip Loria made the mortgage process quick and easy, and also found ways to save us money. He was always on top of things, very accessible, and his communication is top notch. I will recommend Philip Loria and Amerimutual Mortgage highly to any of my friends, family or colleagues.

Joe D. Long Island, NY
Ninfa Brusca

Philip and Benny Loria were very knowledgeable and professional. They exceeded all our expectations and were a pleasure to work with. They were both were just genuinely nice guys. They listened to all our concerns and did everything in their power to accommodate our needs and make feel comfortable throughout the whole mortgage process. I recommend Amerimutual Mortgage to anyone who is looking for a mortgage.

Ninfa Brusca Tuckahoe, NY
Lenny P., Occupation: Real Estate Development

Richard, I wanted to thank you for all your help and hard work. I am so glad our refinance was a success. You were very diligent and dedicated to getting me the best rate possible. I truly enjoyed working with you and will recommend your services to all our friends and family.

Lenny P., Rye, New York
Nick Tsatsaronis

Philip Loria, assisted me with my refinance. Thank you so much for all of your time and hard work. You made refinancing my house easy and stress free. I wouldn’t recommend anyone else. I will definitely use Amerimutual Mortgage for any future needs, and recommend them to anyone who needs a mortgage.

Nick Tsatsaronis Flushing, NY
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