This week is light on the economic reports but another record amount of treasury auctions will definitely keep the holiday-shortened week exciting.
This week will include $40 billion in 3-years, $25 billion in 10-years and $16 billion in 30-years. It will be extremely important to keep an eye on how the treasury auctions are received especially by foreign investors on the longer term maturities as it will impact mortgage rates.
With Veterans Day being celebrated on Wednesday, much of the reaction in mortgage bonds and to home loan shoppers will be impacted by headlines of the stock market and recent passage of legislation from Congress.
Be advised that trading volume during holiday-shortened weeks generally are low which means greater volatility for stocks, bonds and mortgage rates.
Home loan shoppers and retirement funds will continue their battle for investment dollars from abroad and here in the US. As-is the par for the course, good economic news will favor the stock market and take money away from mortgage bonds which will result in higher mortgage rates. Conversely, bad economic news will drive investors into the safety of bonds which will help home buyers with lower mortgage rates.
Want to see what other economic reports might impact home buyers in the coming week? Stop by and check out the Financial Market Update Provided to You Exclusively by The Barath Group.
This Is The Week Ahead for November 8th.
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