• Home
  • About
    • Our Advantage
    • Meet the Brokers
    • FAQ Using a Broker
  • Pre-Approval
    • Pre-Qualification Form
    • Loan Application
    • Documents Required for a Home Loan Mortgage
    • Credit >
      • Imperfect or Bad Credit Loans
      • Fico Score
      • Good Fico Score
      • How Fico Scores Work
      • Fico Scores Ignore
      • How Fico Scores Help
      • Fico Tips
  • Loan Types
    • What is an Arm?
    • Conventional Loan
    • FHA Loan
    • VA Loan >
      • VA Loan Eligibility
      • VA Refinance IRRL
    • HARP
    • Jumbo Loan
    • Hard Money Loans
    • Reverse Mortgage >
      • What Is A Reverse Mortgage
      • Benefits Of A Reverse Mortgage
      • Reverse Mortgage VS HELOC
      • Loan Process
      • Reverse Mortgage Presentations
      • Reverse Mortgage Quote
  • Buyers/Sellers/Homeowners
    • Refinance >
      • What Not To Do When Refinancing
    • First Steps in Homebuying >
      • Down Payment Strategies
      • Rent vs. Buy
      • 6 Benefits to Owning Your Own Home
    • After You Sign the Contract
    • The Loan Process
    • Mortgage Payment
    • FSBO
    • Preparing for an Open House
  • Blog
  • Support
    • Property Search
    • Property Tax Information
    • Mortgage Glossary
    • Mortgage FAQs
    • Useful Links
  • Contact
  • Reviews
Effective Mortgage Company
Follow Us

Effective Mortgage Company

Blogs on Mortgages, Markets And Other Items Of Interest. Stay Up To Date!

Blog

Market Update

11/4/2015

0 Comments

 
ADP reported private jobs in October up 182K slightly less than 185K expected. Sept private jobs were revised lower, frm 200K to 190K. The report in line with forecasts. Prior to the 8:15 release the 10 yr note down 4/32 (12 bp) to 2.22%, the report put a slight support in bonds but so minor it doesn’t make a difference. At 8:30 the 10 yr at 2.20% unchanged frm yesterday and the FNMA 3.5 coupon down 5 bps frm yesterday’s close. Yesterday MBS prices declined 20 bps, the 10 yr increased 2 bps to 2.2% but intraday the 10 traded at 2.22%, cutting through another support level at 2.20% as traders and investors continue their heavy long positions.
 Yesterday China’s leaders fessed up that the growth rate next year at 6.5% frm 7.0% they say this year. China faces an aging economy that like the US in a few years will have to deal with a population of older people with less workers driving the engine. Last week it was announced that Chinese couples could now have 2 children, up frm 1 that was put in place decades ago. Japan’s economy has faced aging for years, one reason its economy is not growing as it did in the 80s.  The International Monetary Fund, which tends to be more bullish than private economists, projects China’s economy will grow 6.3% next year.
 
No real movement on the lower outlook as markets already expected China’s growth would continue to slow. The weakening used to bother US investors but since the almighty Fed, the voice of all, noted last week that global slowing would not deter US growth much and not dissuade the Fed from normalizing rates as soon as Dec. Dec still a wild card and depends on Friday’s Oct jobs report and the Nov jobs data on Dec 4th. The FOMC meets again on De 14th and 15th, besides employment data for October and most of November will be in the hands of Fed officials and markets. 

 The Sept trade deficit reported at -$40.81 in line with forecasts.
 
A
t 9:30 the DJIA opened +32, NASDAQ +15, S&P +4. 10 yr note at 9:30 unchanged at 2.21%; FNMA 3.5 coupon unchanged frm yesterday’s close but down 14 bps frm 9:30 yesterday when most lenders set morning prices. 

 At 10:00 the October ISM services sector index expected at 56.7 frm 56.9; the index was the 2nd best this year at 59.1; new orders increased to 62.0 frm 56.7, employment increased to 59.2 frm 58.6. Prior to the report the mortgage prices were holding small gains, the report pushed prices back t unchanged. 

 Janet Yellen will testify at the House Financial Services Committee today but unlikely she will have anything to say about the potential of a rate increase in Dec; testimony on regulatory issues. Later this afternoon NY Fed President Wm. Dudley holding a press conference on economic issues, that should get attention. 

 Slightly better this morning after four days of strong selling of treasuries, but the ISM stopped price improvements. MBS price a little better than when morning prices were set but with employment on Friday and the bearish technical tone now, we want to sit out.
 

 

0 Comments

    Categories

    All
    DIY
    FHA
    Holiday Tips
    Market Update
    Money Tips
    Monthly Newsletter
    Mortgage Knowledge
    Mortgage News
    Mortgage Programs
    Reverse Mortgage
    Seller Information
    VA

    Archives

    September 2021
    May 2021
    April 2021
    May 2020
    April 2020
    March 2020
    August 2018
    March 2018
    January 2017
    December 2016
    November 2016
    October 2016
    August 2016
    February 2016
    January 2016
    December 2015
    November 2015
    October 2015
    September 2015
    August 2015
    July 2015
    June 2015
    May 2015
    April 2015
    February 2015

    View my profile on LinkedIn

Our Services

Purchase Loans
Refinance Loans
Pre-approvals

Company

About Us
Contact Us
Our Blog

Support Page

FAQs
Mortgage Glossary
Mortgage Calculator
Property Tax Information
Credit Information
Useful Links
Property Search

Contact Us

Picture

Effective Mortgage Company BRE# 01264208 NMLS # 252973