Industry News
Mortgage Industry News
Producer Price Index Rises
12/14/2010
Stronger than expected economic data has hurt MBS markets this morning. November PPI inflation rose 0.8% from October, above the consensus forecast of 0.5%, and was 3.5% higher than one year ago. Core PPI rose at a 1.2% annual rate, which was close to expectations. November Retail Sales increased 0.8%, above the consensus of 0.5%. Also negative for MBS markets, the Senate moved a step closer to passing the tax deal, and a vote is expected today or tomorrow. Next, the House would consider the bill. The Dow is up 20 points. No more economic data will be released today. The FOMC meeting announcement will be released around 2:15 et. Investors will be looking for an update on the Fed’s plans for the quantitative easing program.
