Mortgage Bonds and Cedar Point's TOP THRILL DRAGSTER -- How are they similar? - 05/31/07 11:29 AM
Cedar Point's Top Thrill Dragster has a 420 feet (42 stories), 120 mph drop.  It is a TOTAL blast for anyone who is a roller coaster fanatic like myself.  But at least the Top Thrill Dragster stops.  Mortgage bonds continue their downward trend in pricing / interest rate increases.
Bonds are currently down -16 basis points so we expect rates to increase.  Yesterday, as we expected, the Fed Minutes from May 9 stated "nearly all participants viewed core inflation as remaining uncomfortably high," and "all participants agreed the risks around the anticipated moderation in inflation were to the upside."  Even though the … (1 comments)

Niche Mortgage Products -- Sellers, Listing Agents, and Buyers....Listen Up! - 05/30/07 11:50 AM
I FINALLY got my new yard signs for a few niche programs that we are offering:
MORTGAGE MAKEOVER (we liked PIMP MY HOUSE but management wasn't going for it!)--Many homes out there need a new kitchen or a new roof......or both.  The seller may not want to do the improvements and sell the house "as is."  Many buyers have very little or no money to put into a purchase transaction so buying a house that needs a lot of work may not work for them.  Look no further--our Mortgage Makeover will allow the buyer to finance all of the improvements into the … (1 comments)

Mortgage Market Update as of Wednesday, May 30, 2007 - 05/30/07 11:24 AM
Good Wednesday Morning, All!
Try and keep cool today, folks....it's going to be a hot 91 degrees today.  Summer is definitely here!
"You can't triple stamp a double stamp Lloyd!" ...from the smash comedy hit, Dumb and Dumber.  But that's just what the Chinese government did.  In an effort to cool off the red hot stock market in China, the Chinese government decided to triple its "stamp tax" on stock trading transactions.  Basically, this means it will cost Chinese investors more money to execute a stock trade.  This event sent the Chinese stock market tumbling and the ripple effect has applied some modest … (0 comments)

Mortgage Market Update as of Friday, May 18, 2007 - 05/18/07 02:29 PM
TGIF!!!!!! 
The sun is shining.....temp is nice and comfy.........and it's Friday.........it's a great day!!! 
Well, now that takes care of the good, fun stuff.  In terms of the mortgage market.......
"Don't try to catch a falling knife."  This is what Bond traders are saying to each other in the pits as mortgage bond prices continue to drift lower with no clear signs of stabilizing just yet.  That being said, rates increased again.  As the day closes out, bonds are performing horribly so we may see more of an increase come Monday. 
Global stock markets have been performing well of late and this positive trend … (0 comments)

Mortgage Market Update - May 17, 2007 - 05/17/07 01:47 PM
Good Afternoon Everyone!
As we suggested earlier in the week, customers should have locked their interest rates.  Those customers who locked their loans have saved themselves tens of thousands of dollars in interest over the term of their loans.  Today, the price of mortgage bonds continues to decrease and this decrease translates into rate increases. 
Initial Jobless Claims were reported at 293,000, lower than expectations, and actually the lowest level reported since early January.  And the more closely watched four-week moving average of Claims fell to their lowest level in a year.  This report shows continued signs of a tightening labor market … (0 comments)

MARKET UPDATE - 5/15/2007 - 05/15/07 09:53 AM
"Be careful what you wish for, you just might get it". 
The Bond market got what it wanted as the Core Consumer Price Index showed tame consumer inflation. The Core CPI for April was reported up 0.2% which lowered the year over year Core rate to a better than expected 2.3% and closer to the Fed's target zone of 1 to 2%.  As we had forecast in yesterday's update, Core CPI came in better than expected and while this is good news, Bonds are only modestly higher and unable to recoup yesterday's losses.  More importantly, Bonds have failed to rally back … (0 comments)

Yesterday's Fed Meeting and What Else Is Effecting Bonds Today - 05/10/07 10:48 AM
Just as we mentioned in yesterday's Daily Update, we knew the Fed would not make any changes to the Fed Funds Rate following yesterday's meeting - and sure enough, the Fed voted to leave monetary policy "as is", with the Fed Funds Rate held steady at 5.25%. 
However, it was the tone of the Policy Statement that was in question...and indeed, although the statement was short, it was not so sweet for Bonds, which declined a bit following the release.  Why?  Because the market was looking for a little love from the Fed, particularly in regards to inflation.  Recent inflation and wage data has all been friendly, … (2 comments)

Today's Federal Reserve Meeting - 05/09/07 02:56 PM

The Federal Open Market Committee decided today to keep its target for the federal funds rate at 5-1/4 percent.
Economic growth slowed in the first part of this year and the adjustment in the housing sector is ongoing. Nevertheless, the economy seems likely to expand at a moderate pace over coming quarters.
Core inflation remains somewhat elevated. Although inflation pressures seem likely to moderate over time, the high level of resource utilization has the potential to sustain those pressures.
In these circumstances, the Committee's predominant policy concern remains the risk that inflation will fail to moderate as expected. Future policy adjustments … (1 comments)

 
The Mortgage World Updates.....


Links

Archives

RSS 2.0 Feed for this blog