Friday’s bond market has opened relatively flat due to a lack of economic data on tap today and a mixed morning in stocks. The Dow is currently up 38 points, but the Nasdaq has slipped 3 points. Both indexes are off earlier highs, meaning that investor interest has waned as the morning has progressed. The bond market is currently up 4/32, but we will still see an increase in this morning’s mortgage rates of approximately .250 of a discount point due to weakness in bonds late yesterday.
With no relevant economic data scheduled for release today, the bond market is left to stock market movements for direction. If the major stock indexes move higher later today, bonds may give up their minor gains. That could lead to slight upward revisions to mortgage pricing. However, if they continue their move away from the highs of the morning, we should see bonds move higher and mortgage rates slightly lower.
Next week is pretty active in terms of economic releases and events that are relevant to mortgage pricing. There is nothing of importance scheduled for Monday, but we may see some movement in bonds as investors prepare for the following day’s activity. The first relevant report is Tuesday’s Consumer Confidence Index (CCI) that measure consumer willingness to spend.
The rest of the week has several more reports and events that we need to watch, including a two-day FOMC meeting, the first Gross Domestic Product (GDP) reading of the 4th quarter, two potentially influential Treasury auctions and a few other reports.
Mortgage Update For Jan. 21, 2011
Friday’s bond market has opened relatively flat due to a lack of economic data on tap today and a mixed morning in stocks. The Dow is currently up 38 points, but the Nasdaq has slipped 3 points. Both indexes are off earlier highs, meaning that investor interest has waned as the morning has progressed. The bond market is currently up 4/32, but we will still see an increase in this morning’s mortgage rates of approximately .250 of a discount point due to weakness in bonds late yesterday.
With no relevant economic data scheduled for release today, the bond market is left to stock market movements for direction. If the major stock indexes move higher later today, bonds may give up their minor gains. That could lead to slight upward revisions to mortgage pricing. However, if they continue their move away from the highs of the morning, we should see bonds move higher and mortgage rates slightly lower.
Next week is pretty active in terms of economic releases and events that are relevant to mortgage pricing. There is nothing of importance scheduled for Monday, but we may see some movement in bonds as investors prepare for the following day’s activity. The first relevant report is Tuesday’s Consumer Confidence Index (CCI) that measure consumer willingness to spend.
The rest of the week has several more reports and events that we need to watch, including a two-day FOMC meeting, the first Gross Domestic Product (GDP) reading of the 4th quarter, two potentially influential Treasury auctions and a few other reports.