ECONOMIC UPDATES
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The Commerce
Department reported that consumer spending rose $32.3 billion or 0.3% in March,
just one-third of February's increase. Personal income in March increased $50.3
billion or 0.4%, after a 0.3% rise in February.
The Institute for Supply
Management reported that the monthly composite index of manufacturing activity
rose to 54.8 in April from 53.4 in March. A reading above 50 signals expansion.
It was the 33rd straight month of expansion.
Total construction spending
rose 0.1% to $808.1 billion in March from a revised $807.3 billion in February.
Economists had anticipated an increase of 0.5% in March. Compared to a year ago,
construction spending is up 6%.
Factory orders fell 1.5% in March, the
biggest drop in three years, to a seasonally adjusted $460.5 billion, following
a revised 1.1% increase in February. Excluding the volatile transportation
sector, orders increased slightly in March.
The Mortgage Bankers
Association said its seasonally adjusted composite index of mortgage
applications for the week ending April 27 rose 0.1%. Refinancing applications
decreased 0.7%. Purchase volume rose 2.9%.
The Institute for Supply
Management reported that the monthly composite index of non-manufacturing
activity fell to 53.5 in April from 56 in March. A reading above 50 signals
expansion. It was the 28th straight month of expansion in the services
sector.
Initial claims for unemployment benefits for the week ending
April 28 fell by 27,000 to 365,000 from a revised 392,000 the prior week.
Continuing claims for the week ending April 21 fell by 53,000 to 3.276 million.
The unemployment rate fell to a three-year low of 8.1% in April from 8.2% in
March.
Upcoming on the economic calendar are reports on international
trade on May 10 and the producer price index on May 11.
Provided
by:
Judy Haller
Prospect Mortgage
3985 Prince William Co. Pkwy., Suite
104
Woodbridge, VA 22192
Office: (703) 590-7132
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