Integration - Taking Balance to the Next Level
/"The goal is not just balance, it is integration"
I heard this quote earlier in the week and it has really resonated with me. My goal has always been to have a well balanced life – so that I’m devoting the proper time and attention to the things that are important to my life’s purpose. It doesn’t matter if it is work versus family/play time, eating habits, sleeping habits or exercise – I want to have a positive balance with all those things! I think balance makes sense because I can measure it. In other words, I can examine a 24 hour day and monitor exactly how I spend every hour, making sure that all of the important components of my life’s priorities get their allotted time requirement. Or, I can examine my diet or exercise routine and monitor exactly what I am consuming or the effort put forth in the gym. I’m not saying it is easy to accomplish balance, I’m just saying it is somewhat easy to measure.
But is balance as important as integration? I looked up the term “integration” and it simply means the act or process of making whole. Integration is more than just making sure everything gets its proper attention. To me, it is living out my life’s purpose- taking all of my life’s priorities, those that I’ve always wanted to make sure have the proper balance, and mingling them all together so they are all part of an interwoven theme. Everything I do then becomes integrated for my life’s purpose. Exercise and diet become the fuel that allows my body to be the best it can be for my purpose. My work, my family time, my relationships, how I rest and recreate all become woven together, or integrated, for this same beneficial purpose. This becomes the motivation then for everything I do.
Having balance is great, but when everything I do becomes part of my life’s purpose and vision, balance takes care of itself.
If you are ever interested in reading prior weekly emails, please visit my Facebook page. Mike Smalling Mortgage Advisor
The Week Ahead
This week, the big news will be Wednesday's Fed meeting. Investors will be looking for hints about when the Fed will begin to raise the fed funds rate. The biggest economic data this week will be Tuesday's release of the Consumer Price Index (CPI), the most closely watched monthly inflation report. Industrial Production, Housing Starts, and Philly Fed also will come out next week. In addition, investors will be keeping a close eye on the violence in Iraq. Further escalation could cause investors to shift to safer assets.
The Week That Was
Mortgage rates were influenced by a wide range of factors last week, resulting in a good deal of volatility. Violence in Iraq, comments from the Bank of England, divergent US Treasury auction results, and mixed US economic data all had an impact. Overall, the unfavorable news slightly outweighed the favorable, and mortgage rates ended the week a little higher.
Improvement in the labor market is clearly good for the economy, but it is a negative factor for mortgage rates. Following solid job gains in last week's Employment report, this week's indicators also suggested that the labor market is gaining strength. The JOLTS report measures job openings and labor turnover rates. Because it helps to construct a more well-rounded view of labor market conditions, Fed Chair Yellen is a fan of this data. It showed that job openings jumped to 4.5M in April. This was the highest level in seven years. In addition, a May survey of small businesses revealed that optimism rose to the highest level since September 2007. Small businesses are an important source of job creation.
While many factors affected mortgage rates this week, it was notable that one formerly significant report has lost much of its influence. The May Producer Price Index (PPI) showed a decline from April, while the forecast was for a small increase. This followed a much larger than expected increase in April. At the start of the year, the calculation of PPI was changed to include price changes in services in addition to goods. PPI now captures roughly 75% of the economy, up from around 33%, but the new components make the measure much more volatile month to month. As a result, investors are less likely to react to swings in the PPI data.