http://MikesDailyMarketReport.com: Initial Jobless Claims continue to increase each week, as this week's report has 244k new filings for benefits. However, the Continuing Claims did shrink from last week. The Producer Price Index (PPI), which measures inflation on the Wholesale side, reported a 1.1% increase in June. However, the Core PPI (excludes food & energy) rose only 0.4% and it's YoY dropped from 8.5% in May to 8.2% in June. Both Markets are down today! The concern that the Fed may increase it's rate hike from 75 bps to 100 bps increased to 75% chance and is having a negative reaction with the Markets. There were a few Fed Members speaking today, but none of them dismissed the sentiment; and indicated that they will review data between now and then before making any final decisions. Also, today is the first day for Q2 Corporate Earnings to be reported, which didn't go well for many of the large US Banks. MBS is currently Down 20bps and sitting south of the 25 DMA. Mortgage Rates are a little worse today (vs yesterday's close). However, it did improve some because the Market was down much more earlier on; and since then, it subsided a bit, which led Lenders to reprice for the better, but not enough to be unchanged or better than yesterday's pricing. Yields had spiked to 3.03%, but has since come down to 2.96%.
**As Mortgage Rates spiked over 6% over past few days, ask me about our 7/6 ARM, which may be a good alternative for you or your client. Contact me today!**
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Also, these videos are base on my views and not represented by any other entity, but my own. I work as a Loan Officer, and if you'd like information on Mortgages, or how I can assist you, then please direct message me.