Mortgage Market Report

Market Outlook
Thursday, June 25, 2009 7:10 AM
Price Trend: Positive
Price Volatility: High
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Current Conditions: Today’s Economic Data (all times PST)
FNMA 5.0 101-15 (+5) Jobless Claims 5:30
GNMA 5.0 101-21 (+6) GDP (final) 5:30
10yr Yield 3.699%
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Commentary:
Not much came of the FOMC announcement or the 5yr auction yesterday. Although there was a period of
extreme volatility in the hour or so following the FOMC announcement, prices ended up unchanged for the
day.
Today the treasury continues their record issuance with a 7yr note auction. That does not seem to be
pressuring prices this morning, though. Jobless claims and the final revision to Q1 GDP were released this
morning but had little impact on bonds. Mortgages are outperforming Treasuries this morning as they did
yesterday.
This Week’s Calendar:
Date ET Release For Actual Consensus Prior
Jun
23
10:00
a.m. Existing Home Sales May 4.77M 4.82M 4.66M
Jun
24
08:30
a.m. Durable Orders May 1.8% -0.9% 1.9%
Jun
24
08:30
a.m.
Durable Orders, Ex-
Transportation May 1.1% -0.5% 0.8%
Jun
24
10:00
a.m. New Home Sales May 342K 360K 352K
Jun
24
10:30
a.m. Crude Inventories 06/19 NA -
3.87M
Jun
24
02:15
p.m. FOMC Rate Decision
Jun
25
08:30
a.m. Initial Claims 06/20 627K 608K 608K
Jun 08:30 Q1 GDP - Final Q1 -5.5% -5.7% -5.7%