Back to top

Market Commentary

Home
Market Commentary


 
Today's Coupons
 
  10-Year Notes   100-12 (+13.5)  
 
  FN 3.5% Coupon   100-20 (+05.5)  
 
  Support   3.237%  
 
  Resistance   2.585%  
 
 
 
 
Friday, March 15, 2019
 
 
Treasury Yields Lower after Weak Economic Data
 
 
Market opened today’s session with treasuries rallying across all maturities. 10-Year treasury yield is at 2.5853, 4.50 bps decreased from prior closing of 2.6303.

While it was reported yesterday that a meeting between President Trump and Chinese President Xi would not happen until April at the earliest, President Trump said that the US would know about a possible deal with China in three to four weeks. US equity index futures rose slightly on the news. In overseas, China will not resort to quantitative easing to combat its economic slowdown but rather cut value-added taxes to support the economy. In the UK, Prime Minister May finally won when a majority of Parliament endorsed her bid to delay Brexit. The EU is open to a delay until late May but will require Britain to give a clear reason for pushing back the deadline. Treasuries sharply advanced this morning on weak economic data with WTI crude tumbling below $58 a barrel.

Empire Manufacturing unexpected fell to 3.70 in March from 8.80 prior vs. 10.00 consensus, marking the lowest reading since May 2017. Industrial Production in February also came in lower than consensus of 0.40% at 0.10% though it increased 0.50% from -0.40% revised prior. Capacity Utilization in February declined to 78.20% from 78.30% revised prior vs. 78.50% consensus. JOLTS Job Openings in January sharply increased to 7581 from 7479 revised prior vs. 7225 consensus. Lastly, University of Michigan Sentiment also printed a strong reading at 97.80 vs. 93.80 prior and 95.60 consensus.

The curve has bull-flattened with UST 10-Year yield down 4.50 bps.
 
 
   
 
   
 
This Week's Events
 
 
  DATE EVENT TIME(PT) PERIOD SURVEY ACTUAL PRIOR REVISED  
  03/11 Retail Sales Advance MoM 05:30 Jan 0.00% 0.20% -1.20% -1.60%  
                   
  03/11 Business Inventories 07:00 Dec 0.60% 0.60% -0.10% 0.00%  
                   
  03/12 NFIB Small Business Optimism 03:00 Feb 102.50 101.70 101.20 -  
                   
  03/12 CPI MoM 05:30 Feb 0.20% 0.20% 0.00% -  
                   
  03/12 CPI YoY 05:30 Feb 1.60% 1.50% 1.60% -  
                   
  03/13 MBA Mortgage Applications 04:00 8 Mar - 2.30% -2.50% -  
                   
  03/13 PPI Final Demand MoM 05:30 Feb 0.20% 0.10% -0.10% -  
                   
  03/13 PPI Final Demand YoY 05:30 Feb 1.90% 1.90% 2.00% -  
                   
  03/13 Durable Goods Orders 05:30 Jan P -0.40% 0.40% 1.20% 1.30%  
                   
  03/13 Durables Ex Transportation 05:30 Jan P 0.10% -0.10% 0.10% 0.30%  
                   
  03/14 Import Price Index MoM 05:30 Feb 0.30% 0.60% -0.50% 0.10%  
                   
  03/14 Import Price Index YoY 05:30 Feb -1.50% -1.30% -1.70% -1.60%  
                   
  03/14 Export Price Index MoM 05:30 Feb 0.10% 0.60% -0.60% -0.50%  
                   
  03/14 Export Price Index YoY 05:30 Feb - 0.30% -0.20% -  
                   
  03/14 Initial Jobless Claims 05:30 9 Mar 225k 229K 223k -  
                   
  03/14 Continuing Claims 05:30 2 Mar 1763k 1776k 1755k 1758k  
                   
  03/14 Bloomberg Consumer Comfort 06:45 10 Mar - 60.80 62.10 -  
                   
  03/15 Empire Manufacturing 05:30 Mar 10.00 3.70 8.80 -  
                   
  03/15 Industrial Production MoM 06:15 Feb 0.40% 0.10% -0.60% -0.40%  
                   
  03/15 Capacity Utilization 06:15 Feb 78.50% 78.20% 78.20% 78.30%  
                   
  03/15 JOLTS Job Openings 07:00 Jan 7225 7581 7335 7479  
                   
  03/15 U. of Mich. Sentiment 07:00 Mar P 95.60 97.80 93.80 -  
                   
 
 
 
 
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 trading or investment advice 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  
 
©2019 Sun West Mortgage Company, Inc. All Rights Reserved