Industry News
Mortgage Industry News
Private Sector Gains Jobs
11/03/2010
Bonds are trading higher again today despite the ADP Employment Change printing better than expected. According to ADP, the private sector gained 43,000 jobs vs. the 20,000 expected by most analysts. Today is day 2 of the FOMC meeting and as mentioned yesterday, most economists believe that they will announce a plan to buy at least $500B of long-term securities. Right now, the futures market is pricing in an 86% chance that the Fed keeps rates between 0% and 0.25% through January 26th, 2011. Currently, the Ten Year yield is at 2.547% (2.61% yesterday) and the 2-10 yield spread is at 222bps, narrowing 5bps since yesterday morning.
