Industry News
Mortgage Industry News
Today’s Mortgage News
12/08/2010
MBA mortgage applications were down 0.9% last week (off 16.5% the previous week); the Refi index is down 1.4%, while purchases increased 1.8%. With the extension of tax cuts, the dollar is strengthening on the prospect of better growth; stocks, bonds and commodities are lower. Investors are concerned about budget deficits, demand for Treasuries, and faster economic growth. There is a $24B 10yr note auction today and a $16B 30yr bond auction tomorrow. Right now, the futures market is pricing in a 93% chance that the Fed keeps rates between 0% and 0.25% through March 15th, 2011. Currently, the Ten Year yield is at 3.27% (3.02% yesterday) and the 2-10 yield spread is at 260bps, steepening 3bps since yesterday morning
