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Today's jobs report showed that 243,000 new jobs were created in February, much more than was expected by the markets.

Normally this would cause mortgage rates to rise, but not today.  There are a few reasons why this could be:

• Market players believed the whisper numbers calling for 300,000 new jobs and 243,000 was a let-down
• It's Friday and traders are taking profits on the week's gains
• Markets are wildly, wildly unpredictable

Who knows.

However, the Federal Reserve is paying very close attention to the 243,000 number because it represents a trend in the U.S. economy, as does the little piece of the report showing that workers are earning 3.5% more than last year.

It looks like a good pay raise on the surface, but then you consider that the cost of living is up 4.00% over the same period of time. 

Summarizing:

1. Businesses are hiring at faster-than-expected clip
2. The cost of living is increasing
3. If the Fed cares, you should, too

Inflation is not only a concern to economists, it should be a concern to homebuyers everywhere.  Inflation erodes the value of mortgage bonds and pushes mortgage rates higher.

Dan Green is an active loan officer. Email or call 513-443-2020. Dan is on Twitter at @mortgagereports.