The average income rose 0.4% in September which allowed consumers to spend 0.8% more during the month. With the increase in spending you can expect consumer sentiment to be high which is exactly what was reported. Consumer sentiment reportedly rose to its highest level in five years this month.
Hurricane Sandy is impacting Bond Markets today and tomorrow as the storm hits the east coast. Tomorrow’s data includes consumer confidence and the S&P/Case-Shiller home price index, both of which are predicted to show gains.
Thursday includes the ADP employment report as well as jobless claims. Claims this week are expected to be less volatile than the previous weeks. Friday is the most important piece of data for the week which is the Non-farm payrolls report. This is the last employment report before the election in which we will see if the recent momentum of economic growth continues.
Senior Loan Officer
1st Advantage Mortgage, a Draper and Kramer company