Thursday, October 28, 2021

Daily Market Report 10/28/21

 http://MikesDailyMarketReport.com:  Jobless Claims continued to drop for the 3rd week in a row, which this week's report came in at 281k.  We're also seeing a decline in the Continued Claims report.  However, keep in mind that people whom are unvaxed and being fired for such won't be included with these numbers, so we may need to view the Labor Participation Rate to determine how much of an impact this may be.  So, stay tuned!  GDP dropped from Q2's 6.7% to an initial reading for Q3 at 2.0%.  Investors shrugged it off because there were some concerns that it could have been even worse (like, near 0.0%).  Lastly, Pending Home Sales dropped by 2.3% to 116.7k seasonally adjusted units.  Stocks are still rising due to Q3 Earnings Reports.  The Spending Bill in Congress seems to be shrinking from $3.5 Trillion to around $2 Trillion.  MBS is going thru a very volatile day today, which it was going back and forth between negative and positive territory.  Bonds were first in retreat, as a selloff in European Bonds, as Investors reacted negatively to ECB Lagarde's comments on tapering.  They improved once the NYSE opened; however, retreated after a poor 7 year Treasury Auction.  It's currently Down 9bps.  Pricing for Mortgage Rates should be close to yesterday's close.  Yields are currently sitting at 1.57%.  Both Yields and MBS are trying to test it's 25 DMA, which appear to be a strong line.  Be cautious, if you're floating, as the FOMC is next week, which they're expected to announce their tapering plans.  Bonds haven't been reacting too well to this talk, so we could see another dip next week!  Again, be cautious!

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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.



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