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Thursday, October 02, 2008
Freddie Mac: 30-year Fixed-rate Mortgage Average Up Slightly
Wallace Witkowski
MarketWatch Pulse
SAN FRANCISCO -- Freddie Mac said Thursday the 30-year fixed-rate mortgage average rose slightly from a week ago. The average was 6.10% with an average 0.6 point for the week ending Oct. 2, compared with 6.09% last week. A year ago, the average was 6.37%. "Average mortgage rates were nearly unchanged during the past week, leaving rates above the levels of two weeks ago," said Frank Nothaft, Freddie Mac chief economist, in a statement. "Reflecting the rate uptick from two weeks ago, the Mortgage Bankers Association reported that loan applications were down 23 percent last week."
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Most folks judge the health of a business by the revenue that comes in through sales. But not all revenue is equal. Companies can grow their sales by buying other companies, which means you don't get a clear view of how the real sales trends are moving.
So, many analysts, particularly those who look at retail, try to gauge what¿s known as "organic" growth, by looking at same-store sales. These are sales only at outlets open more than a year, so the metric can exclude any sales jump that comes from opening new locations. Retailers release same-store sales (which are frequently called "comps" since they're a true comparison from the previous period) every month.
Retail, incidentally, isn't the only industry to look at same-store sales. Hospital companies, also use the metric, to gauge how existing hospitals are performing compared to ones they just built or acquired.






