Foreclosure damage to be worse than expected

Mortgage market commentary

Mortgages are relatively steady in the 6.75-6.875 percent band, but they are the only semi-stable financial instrument out there. The money world is thrashing around, trying to identify the true extent of the housing/mortgage trouble.

June retail sales fell a surprise .9 percent — maybe the often-forecasted, ultimate fade by consumers, maybe just a modest pullback from an outsize 1.5 percent gain in May.

Markets always oscillate across baseline, overdoing it one way, then another.