The Labor Department reports that new applications for unemploymentment benefits last week fell by 19,000 to 223,000, hitting a postrecession low. Economists expected 245,000. New claims have been below 300,000 for 104 straight weeks. Continuing claims rose by 3,000 to 2.07 million the week ended February 18.
Freddie Mac reports mortgage rates moved down this week. The 30-year fixed-rate mortgage 4.10% down from last week’s 4.16%. A year ago it was 3.64%. The 15-year fixed averaged 3.32% down from 3.37%. A year ago it was 2.94%.
Marketwatch reports there’s growing divergence between stock market optimism and economic activity. The Atlanta Fed’s GDPNow model for growth, which combines 13 subcomponents, was cut today to 1.8% from 2.5%. Its lowered its forecast for the quarter because of weak consumer spending. Morgan Stanley pegs first-quarter growth at 0.7%; Barclays cut its estimate to 1.8%, and Macroeconomic Advisers cut its GDP estimate to 1.6%.
Serving the West Side first, I am Bill Roller of BR Capital for 1360 KUIK.
