MetroIntelligence Economic Update by P. DUFFY
Purchase loan apps fall 2 percent from previous week, down 13 percent year-on-year
The Market Composite Index for mortgage applications decreased 6.9 percent on a seasonally adjusted basis from one week earlier, with purchase loans falling 2 percent (and down 13 percent year-on-year) and refinance activity falling 10 percent (and down 16 percent year-on-year). The average contract interest rate for 30-year fixed-rate mortgages increased to 3.14 percent from 3.10 percent.
September service sector index edges up to 61.9, but supply chain challenges remain
The Services PMI registered 61.9 percent, 0.2 percentage point higher than the reading of 61.7 percent in August. The September reading indicates the 16th straight month of growth for the services sector, which has expanded for all but two of the last 140 months. However, ongoing challenges with labor resources, logistics, and materials are affecting the continuity of supply.
Private sector employment increases sharply to 568,000 jobs in September
Private sector employment increased by 568,000 jobs from August to September according to the September ADP National Employment Report. This compares to 340,000 jobs in August and 821,000 jobs in September 2020. We’ll get a fuller read on the job market on Friday, when the BLS released their figures for September.