Market Update 4/30/08

By
Mortgage and Lending with CYPRESS MORTGAGE

Treasuries rose after government reports showed measures of inflation were tamer

than economists had forecast. The U.S. economy expanded at a 0.6 percent annual

pace in the three months through March, the Commerce Department said. The median

forecast of economists in a Bloomberg News survey was for a 0.5 percent increase.

The report's price index rose 2.6 percent, less than the median forecast of a 3 percent

increase. A measure of labor costs rose 0.7 percent, the least in a year. The two-year

note yield fell 2 basis points, or 0.02 percentage point, to 2.34 percent as of 8:43 a.m.

in New York, according to BGCantor Market Data. The price of the 2 1/8 percent

security due in April 2010 was little changed at 99 18/32. The 10-year note yield fell 2

basis points to 3.80 percent. Two-year Treasuries fell earlier after a report showed

companies in the U.S. unexpectedly added jobs in April. The increase of 10,000 jobs

followed a revised gain of 3,000 the prior month, according to the report from ADP

Employer Services. Economists in a Bloomberg survey had forecast a loss of 60,000

jobs this month. The market is relatively unchanged this morning.

Comments (0)