ECONOMIC UPDATES

Retail sales rose 2.3% for the week ending April 2, according to the ICSC-Goldman Sachs index. On a year-over-year basis, retailers saw sales increase 2.8%.

The Institute for Supply Management reported that the monthly composite index of non-manufacturing activity fell to 57.3 in March from 59.7 in February. A reading above 50 signals expansion. It was the 15th straight month of expansion in the services sector.

The Mortgage Bankers Association said its seasonally adjusted composite index of mortgage applications for the week ending April 1 fell 2%. Refinancing applications decreased 6.2%. Purchase volume rose 6.7%.

According to the Federal Reserve, consumer credit debt rose in February by $7.62 billion for a total credit level of $2.42 trillion. Figures for January were revised from an initial gain of $5.01 billion to a gain of $4.45 billion. Revolving debt, which includes credit cards, fell by $2.71 billion. Non-revolving debt, including loans for cars, rose by $10.3 billion.

Wholesalers increased their inventories 1% to $437.99 billion in February. This followed a 1.1% rise in January. Sales at the wholesale level fell 0.8% in February. On a year-over-year basis, sales were 13.7% higher since February 2010.

Initial claims for unemployment benefits fell by 10,000 to 382,000 for the week ending April 2. Continuing claims for the week ending March 26 fell by 9,000 to 3.7 million.

Upcoming on the economic calendar are reports on international trade on April 12, retail sales on April 13 and industrial production on April 15.

Provided by:

Judy Haller

Prospect Mortgage

3985 Prince William Co. Pkwy., Suite 104

Woodbridge, VA 22192

Office: (703) 590-7132