"It’s not a matter of IF, but WHEN!"

That old adage proved true last week as the fiscal problems in Europe came back to roost as predicted - even after being overshadowed recently by news from Japan and the Middle East.

Despite all the focus on government debt in Europe, it’s important to note that the problems are more than just financial; there is also a ton of political capital at risk. The stronger and more fiscally conservative Euro member countries

"It’s a small world after all..."

That notion was especially evident last week, with both the news in Japan and the Middle East impacting our markets. Here’s what happened, and what the impact was on home loan rates.

The first thing to understand is the concept of "safe haven trading." At times

"And now... the rest of the story" - Paul Harvey.

 With his famous line, Paul Harvey pointed out for years that there’s more to every story - and often those hidden details influence what happened. With that in mind, let’s look at the “rest of the story” behind last week’s news items, which had alternating impacts on Bond prices and home loan rates.

 
First, let us start by sending our thoughts and prayers to the families affected by last week’s earthquake and tsunami in Japan.

"I’ve got just what the doctor ordered...."

And last week, the Jobs Report certainly had just what the doctor ordered for our economy. What did the report say, and what are the implications for home loan rates? Read on to learn more.