Daily Market Update 8/1/12

Mortgage rates faced upward pressure Wednesday ahead of this afternoon's Fed statement.  Markets may be volatile as investors await possible news of another round of "Quantitative Easing" by the Federal Reserve (QE3).  In economic news, payroll firm ADP projected a gain of 163,000 private sector jobs in July, above the consensus forecast of 125,000.  Construction Spending rose 0.4%, a bit below expectations.  The Institute for Supply Management manufacturing index came in at 49.8, slightly lower than expected.  Readings below 50.0 indicate contraction in the manufacturing sector of the economy.  The Fed announcement will be released at 2:15 PM.