Mortgage Update August 17 2015

“Mortgage Bonds are being boosted by a weak reading from the Empire State Manufacturing Index along with declining Stock prices. The week features readings on housing and manufacturing, with inflation data from the Consumer Price Index. In addition, the Fed will release the minutes from the July 29 meeting on Wednesday afternoon. I am recommending carefully floating, but in this fast moving market, sentiment can quickly reverse. If anything changes, I will get back to you. Have a great week!”

Mortgage Update August 14 2015

“After hitting key overhead resistance levels earlier in the week and failing to break above them, Mortgage Bonds have reversed lower. In today’s action, hotter than expected wholesale inflation from the Producer Price Index is weighing on Bond prices. I will continue to recommend locking, until such time that I can see some stabilization of prices. If anything changes, I will get back to you. Have a great weekend!”

Mortgage Update August 13 2015

“Mortgage Bonds are flat to slightly lower, being supported by a key technical level. Stocks prices are lower, which is also lending some support. In economic news, solid July Retail Sales data is weighing on Bonds, while inline Weekly Initial Jobless Claims had little impact on trading. I am recommending carefully floating, but in this volatile market, sentiment can quickly reverse. If anything changes, I will get back to you.”

Mortgage Update August 12 2015

“Global Stocks continue to melt down as China’s devaluation of the Yuan continues, which is conjuring up notions of slowing growth in the world’s second largest economy. There were no economic reports released today. The Treasury will sell a sizable amount of 10-Year T Notes, which could impact trading. With prices at the short term highs, I am recommending locking. If anything changes, I will get back to you.”

Mortgage Update August 11 2015

“Mortgage Bonds are higher after several currency measures enacted by China sent global Stock markets, as well as Stocks here in the U.S., on a downward spiral. In economic news, Productivity in the second quarter of 2015 came in near expectations, while worker compensation increased, as did unit labor costs. The news was somewhat inflationary. I will continue to recommend floating, but I grow ever so cautious as Mortgage Bond prices are near a key technical resistance level. Prices have reversed lower in the past few months after hitting those critical levels. If anything changes, I will get right back to you.”

Mortgage Update August 10 2015

“A string of bullish headlines are pushing Stocks higher, at the expense of Bonds. There are no economic reports due for release today and the rest of the week’s calendar is on the light side. The Treasury will be offering a boatload of government securities this week, which could impact the Bond markets. I am recommending carefully floating to begin the week. If anything changes, I will get back to you.”

Mortgage Update August 7 2015

“The July Jobs Report was released with little impact on the markets as the numbers came in near expectations. Mortgage Bonds reacted with prices near unchanged levels, while Stocks are trading modestly lower. With the Jobs Report data behind us, I am recommending carefully floating. Have a great weekend.”

Mortgage Update August 6 2015

“After a swift move lower since Monday’s highs, Mortgage Bonds are higher this morning. However, cautious trading continues ahead of tomorrow’s big risk event in the July Jobs Report. The only economic report today was Weekly Initial Jobless Claims, which came in near expectations and had little impact on trading. Ahead of tomorrow’s Jobs Report, I am recommending locking. If anything changes, I will get back to you.”

Mortgage Update August 5 2015

“Mortgage Bonds continue to drift lower this morning after hitting a short term high on Monday. Mixed economic data showed a weaker than expected ADP Report, while the ISM Service Index was well above expectations and hit levels not seen since 2005. I will continue to recommend locking ahead of the big event in the July Jobs Report on Friday. If anything changes, I will get back to you.”

Mortgage Update August 4 2015

“Mortgage Bonds are modestly lower this morning, while Stocks are trading near unchanged as traders grow nervous ahead of Friday’s big risk event … July Non-farm payrolls. In housing news, home prices rose 6.5% year-over-year in June, the 40th consecutive month of year-over-year price gains. After the recent rally in Mortgage Bonds, prices seem to be stalling at current levels. I am recommending locking ahead of the release of the Jobs Report.”