Wednesday, January 12, 2022

Daily Market Report 1/12/22

 http://MikesDailyMarketReport.com:  Today is a big day for the economic calendar, which is providing us with consumer inflation data by CPI for the month of December.  The CPI reported that it rose 0.5% and it's YoY rose from 6.8% in November to 7.0% in December.  This is the highest reading since 1982.  When you strip out food and energy, then you have the Core CPI.  This index is more useful, as it removes 2 uncontrolled variables.  It jumped up 0.6% in December, while it's YoY rose from 4.9% to 5.5%.  This report will have the greatest impact with the Markets this week.  So far, the Markets are reacting fairly good, as it seems that it came in within forecasts and the Market has already priced it in.  We have a 10yr Treasury Auction coming up shortly, which can play a role with the Markets too, so stay tuned!  Meanwhile, MBS is Up 14 bps, which means that Mortgage Rates have improved from yesterday's pricing.  Also, they went thru a roll-over, which means that there was a reset in MBS pricing, as they begin February's packaging of Mortgage bundles.  This does not impact Mortgage Rates or their pricing, but it does look a little funny on the graph when you view it.  Lastly, the Yields have come down a bit to 1.72%.  If we can achieve a little more push under it's Technical floor of 1.70%, then we may see some more improvement for Mortgage Rates, which would lead to a bit of a correction from last week's big sell off.

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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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