Gasoline prices reached an all-time, inflation-adjusted high yesterday, averaging $3.23 per gallon nationwide.
According to GasBuddy.com, this represents a 25% increase in the last 12 months.
Higher gas prices are leaving Americans with fewer discretionary dollars to spend and that is playing a role in the U.S. economy's slowdown. It's one reason why mortgage rates have stayed low despite steady upside pressure from inflation.
High gas prices are also a reason why Thursday's Retail Sales data will be closely watched; markets will gain insight into whether Americans are cutting back on personal spending because of rising energy costs.
Retail Sales are expected to have risen by a slight 0.1%. If the actual number is lower, mortgage rates should fall on recession fears. If it's higher, rates should rise.
(Image courtesy: GasBuddy.com)
Mortgage Rates Fell, But You May Have A Higher Rate To Pay
Go Beyond the Headlines:Unemployment Data
Looking Back And Looking Ahead : March 10, 2008
How Picking Up The Telephone Can Reduce The National Foreclosure Rate
The Right Question: "How Much Do I Want To Spend On Housing Each Month?"
What High Oil Prices Mean To Mortgage Rates
WHY MAKING LESS THAN A 20% DOWN PAYMENT IS GETTING MORE COSTLY
As The Fed Funds Rate Falls, 30-Year Fixed Mortgages Rise
How Prepaid Items Can Make Your "Closing Costs" Look Inflated
Are You Inadvertently Merging Your Credit Score With A Stranger?
ActiveRain Corp. is not responsible for the accuracy of the site's content (which is written by members of the ActiveRain Real Estate Network) and does not endorse the views of the real estate agents, mortgage brokers, and others listed here.
Powered by the ActiveRain Real Estate Network
© 2012 ActiveRain Corp. All Rights Reserved
