The DOW rose last Friday following better than expected U.S. economic numbers. U.S. manufacturing and the U.S. unemployment both reported better than expected news. Down from 8.1% to 7.8%, U.S. unemployment was down to its lowest level since January 2009. The DOW rose 1.3% to 13610, ending a two-week losing streak on Friday. U.S. manufacturing rose for the first time in four months, caused by a jump in new orders and jobs. The increases are signs that the economy is improving after a weak stretch or glitch, in my opinion. The Commerce Department reported that U.S. home builders spent more to construct homes in August too! Further evidence that the housing market is on a rebound. In addition, U.S. service companies grew in September at the fastest pace in six months, helped by an increase in customer demand. One of the better reports is the September “Retail Spending Report,” which said retail sales rose 3.8 percent. This is further proof of an economic turnaround. 70 percent of our economy is based on consumer spending. Even though The National Retail Federation said it expects sales during the holiday shopping period in November and December to rise only 4.1 percent this year, I am expecting better holiday spending. Now, someone tell me where the negative economic news was this past week. Things are looking better. Now if we can just get the elections behind us!

Real Estate, Mortgage Industry, and Other Economic News

San Antonio has been selected as one of eight cities by the Washington-based Brookings Institution to participate in the Metropolitan Export Exchange Program, aimed at boosting the city’s exports and attracting foreign investments. Great news for the economic development for the Alamo City. Further news is that the Eagle Ford Shale is expected to last at least 16 years in the South Texas area. When more people are working, more are willing to spend. That is why, when communities invest in their future, such as San Antonio is doing now, it can only result in a positive impact for the area. What happens in San Antonio/Austin spills over into the Texas Hill Country as well.

(This article is for informational purposes only. Do not use it as financial advice. For questions/comments contact Tony Stevenson at 1.800.460.6990 or email: tstevenson@swbc.com).