Back to top

Market Commentary

Home
Market Commentary



 
Today's Coupons
 
  10-Year Notes   101-05 (+05.5)  
 
  FN 3.5% Coupon   103-03.5 (-00.5)  
 
  Support   2.753%  
 
  Resistance   1.574%  
 
 
 
 
  Wednesday, January 29, 2020
 
 

Treasury Yields Lower ahead of Rates Decision

 
 
Market opened today’s session with treasuries advancing across all maturities. 10-Year Treasury yield is at 1.6131, 4.31 bps decreased from prior closing of 1.6562.

US stocks rose this morning as investors digested a slew of corporate earnings and news. Apple Inc. continued to rally after their earnings topped estimates, and GE and McDonald’s also jumped after posting strong profits. Boeing added to today’s gain despite their first annual loss since 1997. The coronavirus situation in China appears to be getting worse with the death toll now rising to 132 and the total confirmed cases in China alone nearing 6,000, surpassing the country’s total from the 2003 SARS outbreak. British Airways has stopped all flights to and from mainland China, and the White House told US airlines that they are considering a suspension of flights from China to the US. Despite concerns lingering over the deadly virus, investors may get a fresh focus today when the Fed announces their rates decision later today at 11:00 AM (PT). Elsewhere, WTI crude extended its rebound from a three-month low earlier this week, trading below $54 a barrel this morning.

MBA Mortgage Applications index rose 7.20% after falling 1.20% in prior week. Both purchases and refinances increased 5.30% and 7.50% after falling 2.00% and 1.80% in prior week, respectively. Average 30 year fixed rate reached 3.81%, marking the lowest level since November 2016. Wholesale Inventories edged lower to -0.10% from an upwardly revised prior of 0.10%. Lastly, Pending Home Sales in December plunged to -4.90% from 1.20% prior vs. 0.50% consensus.

The curve has bull-flattened with UST 10-Year yield down 4.31 bps.
 
 
   
 
   
 
This Week's Events
 
 
  DATE EVENT TIME(PT) PERIOD SURVEY ACTUAL PRIOR REVISED  
  01/27 Dallas Fed ManfActivity 07:30 Jan -2.00 -0.20 -3.20 -  
                   
  01/28 Durable Goods Orders 05:30 Dec P 0.30% 2.40% -2.10% -3.10%  
                   
  01/28 Durables Ex Transportation 05:30 Dec P 0.30% -0.10% -0.10% -0.40%  
                   
  01/28 S&P CoreLogic CS 20-City MoM SA 06:00 Nov 0.40% 0.48% 0.43% 0.46%  
                   
  01/28 S&P CoreLogic CS 20-City YoY NSA 06:00 Nov 2.40% 2.55% 2.23% 2.22%  
                   
  01/28 Richmond Fed Manufact. Index 07:00 Jan -3.00 20.00 -5.00 -  
                   
  01/29 MBA Mortgage Applications 04:00 24 Jan - 7.20% -1.20% -  
                   
  01/29 Wholesale Inventories MoM 05:30 Dec P 0.10% -0.10% -0.10% 0.10%  
                   
  01/29 Pending Home Sales MoM 07:00 Dec 0.50% -4.90% 1.20% -  
                   
  01/29 Pending Home Sales NSA YoY 07:00 Dec 10.30% 6.80% 5.60% -  
                   
  01/29 FOMC Rate Decision (Upper Bound) 11:00 29 Jan 1.75% - 1.75% -  
                   
  01/29 FOMC Rate Decision (Lower Bound) 11:00 29 Jan 1.50% - 1.50% -  
                   
  01/30 Personal Consumption 05:30 4Q A 2.00% - 3.20% -  
                   
  01/30 Initial Jobless Claims 05:30 25 Jan 215k - 211k -  
                   
  01/30 Continuing Claims 05:30 18 Jan 1730k - 1731k -  
                   
  01/31 Personal Income 05:30 Dec 0.30% - 0.50% -  
                   
  01/31 Personal Spending 05:30 Dec 0.30% - 0.40% -  
                   
  01/31 PCE Deflator MoM 05:30 Dec 0.20% - 0.20% -  
                   
  01/31 PCE Deflator YoY 05:30 Dec 1.60% - 1.50% -  
                   
  01/31 U. of Mich. Sentiment 07:00 Jan F 99.10 - 99.10 -
                   
 
 
 
 
Helpful Links
  Visit Us Online   Submit Loan  
  Get Approved   SeeMyLoanStatusTM  
  Download Rate Sheet   Conventional Program Guidelines  
  Price & Lock   Government Program Guidelines  
 
 
   
 
  This information is provided solely for informational use and is not intended as an advice for trading or investment purposes in any manner whatsoever. Sun West Mortgage Company, Inc. is not a licensed or registered broker or dealer and cannot provide investment strategies or recommendations. This information is provided to licensed brokers/lenders only and may not be copied or distributed to customers or potential customers. All loans are subject to approval. Certain restrictions may apply. Listed pricing is a morning indication only. Program rates, prices, guidelines, fees, costs, terms and conditions are subject to change without notice.  
 
 
© Sun West Mortgage Company, Inc. All Rights Reserved