Daily Market Report 1/11/22

 http://MikesDailyMarketReport.com:  Investors were watching the renomination of Jerome Powell to Fed Chair today.  The Fed Chair indicated that the Fed has not yet discussed how they will reduce the Balance sheet; and indicated that they may not discuss for another 3-4 meetings.  But there are a few Fed Members out there whom have indicated they'd like to see the Balance sheet aggressively reduced; which means the Fed may even sell their holdings (along with not reinvesting its holdings that have matured).  This could be bad for bonds, as it would greatly reduce the demand in the Market and further pushing up rates.  Both Stock and MBS Markets were in the Red prior to the Renomination, but have since improved to Positive Territory.  MBS are now Up 8bps.  Mortgage Rates are currently about the same as yesterday's close.  We're hoping to find some type of floor for MBS, as Yields seems to have found a ceiling, which has held over the past 3 trading days (about 1.77%).

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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.

Daily Market Report 1/10/22

 http://MikesDailyMarketReport.com:  We only have Wholesale Inventories, which doesn't carry much weight with the Markets released today from the Economic Calendar.  It was reported that Wholesale Inventories rose 1.4% in November.  However, this week will provide us with some inflation data (CPI and PPI) and Retail Sales, which will move Markets with their release.  Currently, there is talk that the Fed will raise rates 4 times this year, which is higher than the Fed's Dot Plot and the sentiment that the Fed will be more aggressive with their Balance sheet reduction.  This has set off the big push last week with MBS, which we saw Mortgage Rates rise.  It has continued today, as the Market was Down quite a bit, as they initially competed with Corporate Bonds; and when the European Markets closed,  then MBS found some buyers.  MBS is currently Down about 23bps.  Mortgage Rates are higher than Friday's close.  The one thing helping us is the Technical level that seems to be holding against Yields.  Yields are currently up against the Technical level at 1.78%.

Please subscribe to my YouTube Channel at MikesDailyMarketRpt

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.

Daily Market Report 1/7/22

 http://MikesDailyMarketReport.com:  The Non-Farm Payrolls reported only 199k new jobs for December, far off the 400k forecasts; and much differently than the 807k that the ADP reported on Wednesday.  Even with the November revision from 210k on the initial report to 249k, it's still not enough.  However, the Unemployment Rate did drop from 4.2% in November to 3.9% for December.  The Average Hourly Earnings rose by 0.6% in December while Average Hourly Workweek remained Unchanged (from a downward revision in November) at 34.7 hours per week.  This would normally be good news for MBS, but we're still experiencing the Investors reaction to the Fed's Minutes that were released on Wednesday, which brought up the topic of the Fed reducing their Balancesheet thru allowing the maturation of the Bonds/Treasuries and not reinvesting it back into more Bonds/Treasuries.  This latter part is not good for MBS/Treasuries -meaning it's pool of buyers has shrunk!  We've been seeing Mortgage Rates rise this entire week and haven't seen any end insight yet.  Today, we're currently Down 30bps, but we're off our earlier lows (close to being down 60bps).  Mortgage Rates continue to worsen!  Meanwhile, Yields had spiked to 1.80%, but are now currently back under a tough Technical Ceiling at 1.77%.  We'll see if this Technical Ceiling can put a hold on the freefall that we've been experiencing this week.

Please subscribe to my YouTube Channel at MikesDailyMarketRpt

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.

Daily Market Report 1/6/22

 http://MikesDailyMarketReport.com:  The Initial Jobless Claims rose to 207k people applying for first time benefits last week.  The Challenger Layoff (announced layoffs) jumped up from 14.875 million in November to 19.052 in December.  Lastly, the Continued Claims rose from 1.718 million in last week's report to 1.754 million in this week's report.  Tomorrow will be Jobs data from the Bureau of Labor Statistics (BLS), which can have a big impact with the Markets tomorrow.  There are a few more data to report, which includes Factory Orders increasing to 1.6% MoM in November; and the ISM Non-Manufacturing PMI dropping from 69.1 in November to 62.0 in December.  MBS is still falling today, as it's been all week!!!  It had appeared that we were at our caps and seemed to show some weakness; however, it found renewed energy to break those caps and it's downward trajectory.  We're currently at the lowest levels for MBS in nearly 2 years since just before the beginning of the pandemic.  We're currently Down about 17bps, as Mortgage Rates continue to deteriorate!  Treasuries are now Up to 1.73%.  They've exceeded their October and November caps; and appear to be on the way to making new caps (further eroding Mortgage Rates).  Right now, it doesn't appear to show any momentum shift or end.

Please subscribe to my YouTube Channel at MikesDailyMarketRpt

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.

Daily Market Report 1/5/22

 http://MikesDailyMarketReport.com:  The ADP released their data for Private Payrolls for the month of December today, which came in very HOT!!!!  It is being reported that 807k Private Payrolls were created in December, which is about twice as much as forecasted.  This is the first of the jobs data this week.  This hot number pushed MBS further down on the graph; and received more of a push when the Fed Minutes released.  The sentiment for hawkish comments in the Minutes proved correct, as Investors will be watching the Fed fight off inflation and raise rates this year!  MBS initially came down on the ADP news about 16-20bps; and then dropped another 20 bps after the Fed Minutes were released.  So, now they're Down about 41bps.  Mortgage Rates worsened today!  Yields are pushing up against a Technical Ceiling today, as it sits just under 1.70%.

Please subscribe to my YouTube Channel at MikesDailyMarketRpt

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.

Daily Market Report 1/4/22

 http://MikesDailyMarketReport.com:  Manufacturing slowed a bit in December, as the ISM Manufacturing PMI dipped from 61.1% in November to 58.7% in December.  Anything above 50 is considered expansion or growth.  This week, we'll get Jobs data.  Check out the video to see what the Labor Dept reported today regarding the Quits rate.  Meanwhile, MBS is currently Down 6bps; however, it was down around 14bps when Lenders rolled out their ratesheets, so Mortgage Rates will tend to be a little higher today.  The good news is we've seemed to be hitting a benchmark for a possible recovery.  We could possibly see the Markets improve and get us back closer to the 25- and 50 DMA; which would be slightly better pricing for Mortgage Rates.  Also, Yields spiked to just under 1.66%.  The last time we reached this level was in November (and once in October), which Yields then reversed couse.  This might offer some instant relief within the next few days!

Please subscribe to my YouTube Channel at MikesDailyMarketRpt

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.

Daily Market Report 1/3/22

 http://MikesDailyMarketReport.com:  Construction Spending rose 0.4% in November; which is the only economic data being reported today.  This week will host the Jobs data, which will be the most relevant data to be reported this week; however, there will be some competition on the release of the FOMC Minutes, as Investors will review for any insight into the Fed's plans for 2022, which may  or may not have been exposed during their FOMC a few weeks back.  Meanwhile, stocks are back; and MBS are Down 45bps, as a result!  Mortgage Rates worsened on the Market movements.  Also, Yields have spiked to just under 1.62%, which is the highest we've been since Novmber.

Please subscribe to my YouTube Channel at MikesDailyMarketRpt

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.