Mortgage Secrets…Learn What the Experts Say

Rates are steady so far today.  In the news, Initial Jobless Claims came in as expected and Continuing claims have fallen.  Also, Pending Home Sales for January are worse that expected, this is thought to be due to inclement weather. 

Stocks are lower today after weekly Jobless Claims came in higher than expected and news that the financial situation in Greece has gotten worse.  Initial Unemployment Claims are at the highest reading in four months.  Floating is recommended for now.

Weekly Jobless Claims came in below forecast, and Continuing Claims fell to the lowest in 13 months.  Despite those reports, stocks are lower today and rates have moved higher.    

Rates are steady Monday, with no economic reports due out today.  The Treasury auctions later this week could add some pressure to the market.  Fed Chairman Ben Bernanke is schedule on Wednesday to testify before the House Financial Services Committee to talk about the Fed’s plan to withdraw emergency stimulus from the economy.  This includes the $1.25T Mortgage backed Security purchase program. 

The ADP Employment Report came out this morning with better than expected numbers.  The forecast was 30,000 jobs lost, but the report came in at 22,000 which is the lowest level in two years. 

 The Fed confirmed yesterday that it’s Mortgage Backed Security program will come to an end on March 31^st.  Initial Jobless Claims are above expected and Durable Goods Orders were well below the forecast.  Floating is recommended, but could change quickly after today’s 7-year Treasury Auction.

Bonds are higher so far this morning. The Markets are awaiting the results of today’s Treasury Auction of $42 Billion in 5-year Notes and the Fed’s Rate Decision and Policy Statement, which could potentially move the markets depending on what they say about rates in the future.  Also, they could see movement with Obama’s first official State of the Union address. 

Bonds are higher this morning due to concerns of Japan’s credit ratings.  It’s caused global investors to move money away from Japanese Bonds into US Mortgage Backed Securities.  Consumer Confidence is higher than expected, causing stocks to improve.  The Treasury is selling $44 Billion of 2-Year Notes this afternoon.  Floating is recommended, but the market could quickly change upon the results of today’s auction.

Bonds are steady today as they stay above the 200- Day Moving Average. The Initial Jobless Report came out at 482,000, which is a lot worse than expected and reversed the recent trend of lower numbers. 

Inflation was higher than expected in India and the UK and is expected to get higher around the world.  Expect interest rates to increase if it does go higher.  Because of this and Bonds dropping below an important level, locking is recommended.