Hoping for bond friendly news

CPI was reported to be in line with expectations, and inflation remained in check as well.  Additionally, the NAHB Housing Market Index was higher than expectations, with builders citing demand as the reason.  Stocks are flat for now, but are holding their gains from yesterday.  mortgage bonds are holding steady for now, but have been stuck in a limited range for the last 4 days.  Investors are not taking any big positions before tomorrow’s FOMC comments.  There is plenty of talk about tapering, but it’s not likely due to the lack of inflation, and still no real significant traction in the labor market.  We will attempt to float today as long as prices hold at their current levels.  Tomorrow’s Fed announcement may be a catalyst for breaking us out of this nasty downward trend we are in.  For the sake of interest rates going into 2014, let’s hope for bond friendly news.

Get your custom rate quote in 30 seconds

See your customized rate and fee options without sharing any personal information

See Purchase Rates See Refi Rates

Additional Articles