Houston's Rate Sheet

4th quarter growth not so good

In their first revision, the revised GDP numbers were slightly up from their initial release. GDP was revised up to 1.6 percent growth vs. the previous 1.1 percent. Although, the figures were higher than first expected, GDP growth was still at the lowest levels in 3 three years.

This is nothing to be too concerned about. The GDP number will probably not have much impact in the markets. Economists believe that the 1st quarter 2006 is rebounding nicely and GDP growth is expected to rebound. Much of the drop off in growth is attributed to high energy costs and the Katrina and Rita Hurricanes.

If there is any significant impact to the mortgage markets, I'll post later on today. AP has some additional information if you’re so inclined. [here]

posted by Vincent Biondillo @ 8:57 AM