Jul 02 2009
Florida Mortgage Rates – Morning Report
Locking Stance: LOCKING Mortgage Bonds: +12bp
Mortgage backed securities made a turn around yesterday and ended the day higher, having reversed the morning’s losses. Today, they are reversing again as they approach, if not touch, overhead resistance. The move higher is sparked by a favorable Jobs Jamboree, which I will get into in a moment, but with the show weakness and the approach Treasury Announcement surrounding the 30-year T-Bond, MBS pricing could drop from here.
OK, as for the Jobs Jamboree, here is a quick rundown of the numbers, along with the Jobless Claims report for this week…
|
Actual |
Expectations |
|
| Non-Farm Payrolls | -467,000 |
-350,000 |
| Unemployment Rate |
9.5% |
9.6% |
| Average Hourly Earnings | 0.0% | 0.2% |
| Average Work Week |
33.0 |
33.2 |
| Jobless Claims |
614K |
619K |
As you can see, in general the reports were favorable, though a couple of minor details were not. The Unemployment Rate coming in lower than expected and the slightly better than expected Jobless Claims were the negatives, with the remainder being favorable. As I mentioned, though, mortgage backed securities are not moving higher and with the Treasury Announcements soon to come, a drop in mortgage bond pricing can be expected.
What does this mean for Florida Mortgage Rates? Mortgage appear to be drifting slightly higher today. The overall outlook remains favorable at the moment.
Note: I was checking on the website and noticed that June 29’s post did not appear and I initially had problems with yesterday’s. I am now checking to ensure posts do appear after being written as part of the quality control on this site due to the importance of its material.
