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Mortgage Market Snapshot 11.17.15
Good morning everyone from SNOWY Denver CO.
I am glad that the snow has finally decided to stop and blue skies start to reappear as this am's commute was a little dicey getting nearly a foot of snow in some places.
Anyway, to the point at hand, A slight rise in the CPI (Consumer Price Index),  mostly from rents and Obamacare, and the Cap Utilization is down slightly showing we still have ability to produce more but the demand is not there. So how did the market react initially?
A slight sell off to treasuries but it should be short lived. I believe the FNMA 3.0 will close at the 101 mark where it has been and likely improve as the week goes on. Bottom line is we are still in a very fragile state as a country and with the middle east issues I see a flight to quality being a very real thing and that should bode well for rates.
Currently the FNMA 3.0 is at 99.813 (down appx 20bps from yesterdays close.
Here is today's data...
The Consumer Price Index rose 0.20% in October following a 0.20% drop in September. Energy cost climbed 0.30% following a 4.70% drop prior and Food costs increased 0.10% for the smallest advance ... more

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