Financial Update by Maurice Soussé

Today we experienced Economics 101…..rates can move in today’s information markets in under 15 minutes. This morning the financial markets spiked after President Drag hi of the European Central Bank stated he will be issuing new measures that will ease the euro zones continuing debt crisis. He is looking to lower interest rates yet again, among other measures that could help to uplift Spain and the other dragging European countries. Why then if he is lowering rates did our rates go up over an .125% twice today in under 3 hours? The flight to risk…..investors run back to the stock market when good news is told. Our 10 year treasury rates went from 1.43 at yesterday’s close to 1.56% at today’s close? Not much…..tell that to a buyer locking today who went up by a .25%.

These types of market moves happen very fast which is why it is critical that buyers move on the great opportunities we have in today’s markets. Rates are simply too low to ignore. I personally think this was a knee jerk reaction to the announcement, but, only next week will tell when the payroll numbers come out.

Having said all of that, rates are still at epic lows. Take a look. In the meantime I love the quote said by Eartha Kitt “I am learning all the time. The tombstone will be my diploma”

Rates 072812, The Sousse Group, Luxury Irvine Condos, Luxury Newport Beach Homes for Sale