Wednesday, December 07, 2022
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Updated on December 7, 2022 10:06:54 AM EST

Today’s only relevant economic data was revised 3rd Quarter Productivity numbers at 8:30 AM ET. The release showed that worker productivity rose 0.8% during the July through September months. This was stronger than the preliminary estimate of 0.3%, making it good news for bonds and mortgage rates. Another piece of favorable news was a downward revision to the labor costs reading in the report, easing wage inflation concerns.

Tomorrow also has a minor piece of economic data set for release. We will get weekly unemployment figures at 8:30 AM ET. They are expected to show 220,000 new claims for unemployment benefits were filed last week, down a little from the previous week’s 225,000. Rising claims is a sign of employment sector weakness, so the higher the number, the better the news it is for mortgage rates. However, because this is just a weekly snapshot, we will need to see a large variance from forecasts for the report to affect mortgage rates.

Our economic calendar has been quiet so far this week, but that will change Friday morning when we get an important inflation reading at the manufacturing level of the economy. In addition to the Producer Price Index (PPI), there is also a consumer sentiment index being released. While it is generally considered to be moderately important to rates, it is more influential than anything else posted so far this week.

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