Market Update - Friday, June 10, 2016

By
Mortgage and Lending with Cardinal Financial Company, Limited Partnership NMLS ID # 9659

What's going on and why does it matter?

 

Mortgage bonds are continuing to trade near their best levels of the year as government bond yields across the world are at record lows.  The 10-yr US treasury yield remains below 1.7%, an important technical indicator that may signal lower rates ahead.  German 10-yr government bond yields are nearly zero percent.  Asia and Europe have taken the spotlight this week with disappointing economic reports showing weakness in their economies.  Oil prices have broken below $50/barrel again.  The Fed is not scheduled to purchase any mortgage bonds today, so mortgage bonds are on their own for the moment.  That said, mortgage bonds are likely to continue drifting sideways and higher amidst all the market uncertainty.

What should you do about it?
Enjoy the uptick in bond prices, but be prepared to lock quickly if the market changes directions.  Keep in mind that mortgage pricing quickly deteriorated the last time mortgage bonds approached these lofty levels.

Posted by

Nikitas Kouimanis, CMPS® |Licensed Loan Originator & Sales Manager

NMLS ID # 9659

United Northern Mortgage Bankers, Ltd. 

3601 Hempstead Turnpike, Suite. 300,
Levittown, NY 11756

Mobile: 516-206-0000

Direct: 516-390-8262

Office: 516-520-5700 Ext.195

eFax: 855-342-3555
Email: nkouimanis@unitednorthern.com

Web: http://ihaveamortgageguy.com/

"Celebrating 37 Years of Mortgage Banking Success!"

 

        

 

        

Comments (2)

Jennifer Mackay
Counts Real Estate Group, Inc. - Panama City, FL
Your Bay County Florida Realtor 850.774.6582

Good information Nikitas Kouimanis, CMPS® thanks for sharing your insights

Jun 12, 2016 09:20 PM
Nikitas Kouimanis, Mr Mortgage
Cardinal Financial Company, Limited Partnership - Melville, NY
Call Mr Mortgage @ 516-206-0000

Thank you Jennifer Mackay, have a great week.

Jun 13, 2016 03:13 PM

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