Ben Comes Through

We have some clients building a house that were watching the markets rather closely this morning. We’re still out some undetermined time on their loan, could be 30 days, could be 45 days, so locking out this far still costs them money, and we’re right on the line for price and rate for what they have to have to qualify. The markets needed to move up for them today.

Early this morning, though, the bond markets were moving down based on yesterday’s huge overreaction to the Producer Price Index numbers. And then, just as I was about to call and tell them that we were headed up .125% on their rate, the markets reversed themselves. Why?

Because of Ben Bernanke.

No, really. I’ve not said anything nice about him in the six months that he’s been in charge of the world economy, so I though tit might be nice to do so today. Bernanke told the Senate that though he was still concerned about inflation, 17 consecutive rate hikes might just be enough.

Wonders never cease.