Back to top

Market Commentary

Home
Market Commentary


 
Today's Coupons
 
  10-Year Notes   102-02 (+02)  
 
  FN 3.5% Coupon   98-23.5 (+02)  
 
  Support   3.237%  
 
  Resistance   2.831%  
 
 
 
 
Friday, December 07, 2018
 
 
Treasuries are nearly unchanged across the curve this morning from yesterday’s close. The UST 10-Year yield is currently unchanged from prior close at 2.896%.

Treasuries and U.S. stock futures fluctuated between gains and losses following the weaker than expected November employment reports released this morning. The dollar dropped as the data bolstered speculation that the central bank could slow its policy tightening next year. Nonfarm payrolls grew 155k in November, below the projected 198k increase per consensus, following a downwardly revised 237k gain in October. Moreover, average hourly earnings rose 0.20% in November following a downwardly revised 0.10% gain in October, while consensus projected the earnings to increase by 0.30% for the month. The unemployment rate remained unchanged at 3.70%, while the underemployment rate rose to 7.60% from 7.40% in October. Elsewhere, oil prices jumped after OPEC ministers agreed on a larger than expected output cuts after two days of negotiations.

The economic calendar also included the October Wholesale Inventories index which rose 0.80% from 0.70% prior; market consensus called for the data to remain at 0.70%. The October Wholesale Trade Sales fell 0.20% MoM following a downwardly revised 0.10% gain in September. Also on the calendar, we received the preliminary reading of the University of Michigan Sentiment for December which came in slightly higher than expected at 97.50 versus 97.00 per consensus. Its prior mark of 97.50 remained unchanged. Later at 12:00 PM (PT), the Consumer Credit report for the month of October will be available and is expected to increase to $15.000 Billion from $10.923 Billion prior.

The curve has steepened with the UST 10-Year yield unchanged from prior closing.

Have A Fantastic Weekend!
 
 
   
 
   
 
This Week's Events
 
 
  DATE EVENT TIME(PT) PERIOD SURVEY ACTUAL PRIOR REVISED  
  12/03 Markit US Manufacturing PMI 06:45 Nov F 55.40 55.30 55.40 -  
                   
  12/03 Construction Spending MoM 07:00 Oct 0.40% -0.10% 0.00% -0.10%  
                   
  12/03 ISM Manufacturing 07:00 Nov 57.50 59.30 57.70 -  
                   
  12/03 ISM Prices Paid 07:00 Nov 70.00 60.70 71.60 -  
                   
  12/04 No Data - - - - - -  
                   
  12/05 MBA Mortgage Applications 04:00 30 Nov - 2.00% 5.50% -  
                   
  12/05 ADP Employment Change 05:15 Nov 195k 179k 227k 225k  
                   
  12/05 Nonfarm Productivity 05:30 3Q F 2.30% 2.30% 2.20% -  
                   
  12/05 Unit Labor Costs 05:30 3Q F 1.00% 0.90% 1.20% -  
                   
  12/05 Markit US Services PMI 06:45 Nov F 54.40 54.70 54.40 -  
                   
  12/05 Markit US Composite PMI 06:45 Nov F - 54.70 54.40 -  
                   
  12/05 U.S. Federal Reserve Releases Beige Book 11:00 - - - - -  
                   
  12/06 Challenger Job Cuts YoY 04:30 Nov - 51.50% 153.60% -  
                   
  12/06 Trade Balance 05:30 Oct -$55.00b -$55.50b -$54.00b -$54.60b  
                   
  12/06 Initial Jobless Claims 05:30 1 Dec 225k 231k 234k 235k  
                   
  12/06 Continuing Claims 05:30 24 Nov 1690k 1631k 1710k 1705k  
                   
  12/06 Bloomberg Consumer Comfort 06:45 2 Dec - 60.30 60.60 -  
                   
  12/06 Factory Orders 07:00 Oct -2.00% -2.10% 0.70% 0.20%  
                   
  12/06 Durable Goods Orders 07:00 Oct F -2.40% -4.30% -4.40% -  
                   
  12/06 Durables Ex Transportation 07:00 Oct F 0.10% 0.20% 0.10% -  
                   
  12/07 Change in Nonfarm Payrolls 05:30 Nov 198k 155k 250k 237k  
                   
  12/07 Unemployment Rate 05:30 Nov 3.70% 3.70% 3.70% -  
                   
  12/07 Average Hourly Earnings MoM 05:30 Nov 0.30% 0.20% 0.20% 0.10%  
                   
  12/07 Average Hourly Earnings YoY 05:30 Nov 3.10% 3.10% 3.10% -  
                   
  12/07 Labor Force Participation Rate 05:30 Nov 62.90% 62.90% 62.90% -  
                   
  12/07 Wholesale Inventories MoM 07:00 Oct F 0.70% 0.80% 0.70% -  
                   
  12/07 Wholesale Trade Sales MoM 07:00 Oct - -0.20% 0.20% 0.10%  
                   
  12/07 U. of Mich. Sentiment 07:00 Dec P 97.00 97.50 97.50 -  
                   
 
 
 
 
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