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This week's economic calendar is squeezed into two days -- Tuesday and Wednesday. None of this week's data will influence mortgage rates much. The first item is Tuesday's second estimate of gross domestic product in the third quarter. According to Briefing.com, the consensus is that the economy grew at a 2.4 percent annual rate in the third quarter, and that prices rose at a 2.3 percent annual rate.
Tuesday brings us the report on October existing home sales and the minutes of the Fed meeting early this month. They'll say home resales were in the dumps, and that arguments broke out among smart people wearing expensive suits and sitting around a table.
Wednesday we get an important measurement of inflation, the personal consumption expenditures prices in October. This supposedly is the Fed's favored inflation gauge. The consensus is that it will find inflation of 0.1 percent in October, according to Briefing.com. If the number is higher than that, we might have another increase in mortgage rates.
Wednesday also brings the report on new home sales. They'll be low.
Mortgage rates are going to fall. Expect to see the 30 year fixed down to 4.12% by 13 Dec due to Ireland. The Fed wants to see an increase in consumer spending to report good numbers in early 2011. This is the one method that has proven to work where others usually are speculative.