Back to top

Market Commentary

Home
Market Commentary


 
 
Today's Coupons
 
  10-Year Notes   99-06 (+08.5)  
 
  FN 3.5% Coupon   103-07.5 (00)  
 
  Support   2.753%  
 
  Resistance   1.503%  
 
 
 
 
  Friday, February 14, 2020
 
 

Treasury Yields Lower Further on Revised Coronavirus Data

 
 
Market opened today’s session with treasuries advancing across all maturities. 10-year Treasury yield is at 1.5746, 4.27 bps decreased from prior closing of 1.6173.

China’s Hubei province reported 4,823 additional coronavirus on the second day after they revised their methodology to count the confirmed cases of the virus, igniting criticism over transparency both domestically and internationally. The total confirmed cases now exceeded 64,000 with the death toll reaching 1,384. However, the WHO said the surge in confirmed cases didn’t necessarily indicate a spike in infections which had helped easing growing concerns. Meanwhile, Japan reported a death yesterday, a third fatality outside of mainland China. US equity futures ticked higher earlier this morning but erased gains after economic data displayed mixed results. Treasuries advanced and WTI oil continued to rebound, pushing above $52 a barrel this morning. In corporate news, Nvidia rose more than 6% in premarket after its earnings results topped analyst expectations, and Expedia also jumped after making strong forecasts.

Import Price Index in January lowered to 0.00% from revised prior of 0.20% but came in above consensus of -0.20% while the headline Retail Sales in January showed a very minimal changes; 0.30% vs. revised prior of 0.20% and consensus of 0.30%. However, the core excluding auto declined to 0.30% from downwardly revised prior of 0.60%. Industrial Production in January slightly edged higher to -0.30% from revised prior of -0.40% vs. -0.20% consensus and Capacity Utilization came in line with consensus of 76.80%. Lastly, University of Michigan Sentiment ticked higher to 100.90 from 99.80 prior vs. 99.50 consensus.

The curve has bull-flattened with UST 10-Year yield down 4.27 bps.

 
 
   
 
   
 
This Week's Events
 
 
  DATE EVENT TIME(PT) PERIOD SURVEY ACTUAL PRIOR REVISED  
  02/10 No Data - - - - - -  
                   
  02/11 JOLTS Job Openings 07:00 Dec 6925 6423 6800 6787  
                   
  02/12 MBA Mortgage Applications 04:00 7 Feb - 1.10% 5.00% -  
                   
  02/12 Monthly Budget Statement 11:00 Jan -$10.00b -$32.60b $8.70b -  
                   
  02/13 CPI MoM 05:30 Jan 0.20% 0.10% 0.20% -  
                   
  02/13 CPI YoY 05:30 Jan 2.40% 2.50% 2.30% -  
                   
  02/13 CPI Index NSA 05:30 Jan 257.863 257.971 256.974 -  
                   
  02/13 CPI Core Index SA 05:30 Jan 266.450 266.476 265.921 265.832  
                   
  02/13 Real Avg Weekly Earnings YoY 05:30 Jan - 0.60% 0.60% 0.70%  
                   
  02/13 Initial Jobless Claims 05:30 8 Feb 210k 205k 202k 203k  
                   
  02/13 Continuing Claims 05:30 1 Feb 1734k 1698k 1751k 1759k  
                   
  02/13 Bloomberg Consumer Comfort 06:45 9 Feb - 65.70 66.50 -  
                   
  02/14 Import Price Index MoM 05:30 Jan -0.20% 0.00% 0.30% 0.20%  
                   
  02/14 Import Price Index YoY 05:30 Jan 0.20% 0.30% 0.50% -  
                   
  02/14 Export Price Index MoM 05:30 Jan -0.10% 0.70% -0.20% -  
                   
  02/14 Export Price Index YoY 05:30 Jan -0.20% 0.50% -0.70% -0.90%  
                   
  02/14 Retail Sales Advance MoM 05:30 Jan 0.30% 0.30% 0.30% 0.20%  
                   
  02/14 Capacity Utilization 06:15 Jan 76.80% 76.80% 77.00% 77.10%  
                   
  02/14 U. of Mich. Sentiment 07:00 Feb P 99.50 100.90 99.80 -
                   
 
 
 
 
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