Mortgage rates faced upward pressure Tuesday following the release of stronger than expected economic data. The November Producer Price Index rose 0.8% from October, above the consensus forecast of +0.5%, fueling fears of inflation. November Retail Sales rose 0.8%, beating the consensus of +0.5%. Also pressuring mortgage-backed securities markets, the Senate moved closer to passing the tax deal. Investors are concerned about the impact the plan will have on the budget deficit. Today’s FOMC meeting announcement will be made at 2:15 PM. No rate changes are expected, but analysts will be looking for an update on the Fed’s “quantitative easing” program.