Daily Market Update 7/31/12

Mortgage rates inched lower Tuesday ahead of tomorrow's FOMC meeting.  Investors are hoping the Fed will announce another round of quantitative easing measures.  In economic news, the June Core PCE price index, the Fed's preferred inflation gauge, rose at a tame 1.8% annual rate, matching expectations.  Personal Income rose 0.5%, in line with forecast.  The Chicago Purchasing Managers Index came in at 53.7, a bit higher than the consensus.  Consumer Confidence rose unexpectedly to 65.9 from 62.0.  No other key data will be released today.