Treasuries are lower across the curve this morning from the close of yesterday’s session. The UST10-Year yield is currently at 2.999% after closing at 2.977% prior.
This morning we received the Producer Prices for the month of April which rose 0.10% month-over-month following a 0.30% increase in March; consensus called for a 0.20% increase. PPI excluding Food and Energy rose 0.20% as expected after showing a 0.30% increase prior, while PPI excluding Food, Energy and Trade rose just 0.10% after rising 0.40% prior. PPI Final Demand year-over-year is down from 3.00% prior to 2.60%, and PPI excluding Food and Energy year-over-year is down to 2.30% from 2.70% prior. We also received the Wholesale Inventories for March, which came in below expectations at 0.30% versus 0.50% per consensus; March Wholesale Trade Sales also came in at 0.30% following an upwardly revised 1.10% prior.
Mortgage Application activities fell 0.40% for the week ended May 4th after dropping 2.50% the week prior. Purchase applications dropped 0.20% after falling 1.60% the week prior, while refinancing activities fell 0.60% after declining 3.50% the week prior. Later today at 10:00 AM (PT), the auctions continue with U.S. selling $25 Billion 10-Year Notes.
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
This morning we received the Producer Prices for the month of April which rose 0.10% month-over-month following a 0.30% increase in March; consensus called for a 0.20% increase. PPI excluding Food and Energy rose 0.20% as expected after showing a 0.30% increase prior, while PPI excluding Food, Energy and Trade rose just 0.10% after rising 0.40% prior. PPI Final Demand year-over-year is down from 3.00% prior to 2.60%, and PPI excluding Food and Energy year-over-year is down to 2.30% from 2.70% prior. We also received the Wholesale Inventories for March, which came in below expectations at 0.30% versus 0.50% per consensus; March Wholesale Trade Sales also came in at 0.30% following an upwardly revised 1.10% prior.
Mortgage Application activities fell 0.40% for the week ended May 4th after dropping 2.50% the week prior. Purchase applications dropped 0.20% after falling 1.60% the week prior, while refinancing activities fell 0.60% after declining 3.50% the week prior. Later today at 10:00 AM (PT), the auctions continue with U.S. selling $25 Billion 10-Year Notes.
The curve has bear-steepened with the UST 10-Year yield up 2.2 bps from prior closing.