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Tentative thanks in a turkey economy

Future-Proof: Navigate Threats, Seize Opportunities at ICNY 2018 | Jan 22-26 at the Marriott Marquis, Times Square, New York

Long-term rates fell again during the week of Thanksgiving as concern for the economy deepened: the 10-year Treasury fell to 3.27 percent, taking mortgages a hair under 5 percent.However, much of the new data in the holiday-shortened week was quite favorable: new claims for unemployment insurance nosedived to 466,000 last week, a huge drop from the prior 505,000 threshold and 200,000 below the worst of last winter. Another happy surprise: October sales of existing homes surged 10.1 percent, sales of new ones by 6.2 percent, and even purchase loan applications showed a little life. So why the long face? Orders for durable goods dumped 1.3 percent in October, canceling a positive trend, and the 3.5 percent U.S. gross domestic product growth in the third quarter was chopped to 2.8 percent. The greatest concern flowed from national finances. More than 10 percent of U.S. mortgage loans are now delinquent, with that share on the rise; and the FDIC reported that bank loans fell by $2...