2/7: MetroIntelligence Economic Update by P. DUFFY

Mortgage applications dip 2.5 percent, rates fall 7 basis points
The Market Composite Index decreased 2.5 percent on a seasonally adjusted basis from one week earlier, with purchase loans down 5.0 percent and refinance activity falling 0.3 percent. The average contract interest rate for 30-year fixed-rate mortgages decreased to 4.69 percent from 4.76 percent.

January manufacturing sector index improved 2.3 points to 56.6
The January PMI® registered 56.6 percent, an increase of 2.3 percentage points from the December reading of 54.3 percent. The manufacturing sector continues to expand, reversing December’s weak expansion, but inputs and prices indicate fundamental changes in supply chain constraints.

January service sector index slips 1.3 points to 56.7
The January NMI® registered 56.7 percent, which is 1.3 percentage points lower than the December reading of 58 percent. Respondents are concerned about the impacts of the government shutdown but remain mostly optimistic about overall business conditions.