Friday, January 17, 2020

Daily Market Report 1/17/20

http://MikesDailyMarketReport.com: Housing Starts rose by 17% MoM to 1.608 million annualized units, which is the highest in 14 years.  However, Building Permits dipped 3.9% to 1.416 millin annualized units in December.  Industrial Production dropped by 0.3% in December.  Capacity Utilization dropped from 77.4% to 77.0% in December.  The Jolts Jobs Report (Job Openings) dropped from 7.361 million in Octobre to 6.8 million in November.  Consumer Sentiment dropped from 99.3 to 99.1 in January.  Stocks are Up this morning on the Housing Starts data and the Q4 Corporate Earnings, which has for the most part, been above forecasts.  China unveiled that they grew at 6.1% last year, which is the worst growth rate in 30 years.  This can be contributed to the detente with tthe US in trade. However, it's MoM in December dramatically increased, as trade picks up with the recent Phase One signing.  MBS is currently down 8bps, off from earlier lows, which touched off it's Fibonacci floor of support.  Mortgage Rates worsened a little bit today, as a result.  Yields are fighting their way back above it's 50 DMA and sitting near 1.84%.

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