Moving SideWays

October 21st, 2016

What Is Going On With Interest Rates?  #wigowir

Below is the news when it happened and the market’s reaction.  For a full view of the day start at the bottom and work your way up. If want to know what just happened start at the top. All Times are Eastern Standard Time.  When the price of Mortgage Backed Securities (MBS) goes down rates go up, and when the price goes up rates come down. Remember in the bond market Bad News is Good News and Good News is Bad news.

 

11:04 AM - Stocks attempt at a rally falls short, Dow -100 points once again.

10:06 AM - Weak revenue growth from General Electric weighs on Stocks, Microsoft holds back larger losses.

9:59 AM - Online real estate listing service Trulia says buying a home still cheaper than renting.

9:36 AM - As expected, Stocks open lower. Dow -100 points.

9:13 AM - S&P futures extend losses.

 

9:10 AM- The 3% Fannie Mae 30-yr coupon in the above chart is up 6 basis points from Thursday’s Close at a price of $103.34.  The orange line on the chart is the 50 day moving average that is currently at $103.50.  We are likely to see more sellers come out the closer we get to this number. Until that time MBS's appear to be moving sideways.

 

8:26 AM - It is expected to be a quiet trading session in the MBS market today.

8:19 AM - WTI oil +$0.33, at $50.96/barrel.

8:17 AM - The dollar higher after the ECB left its monetary policy unchanged and as the Fed gears up to possibly hike rates here in the States by years end.

8:16 AM - U.S. dollar index 98.57, +0.25.

8:10 AM - AT&T may be looking to purchase Time Warner.

8:09 AM - There are no economic reports set for release this morning.

8:08 AM - S&P futures declining on mixed earnings.

8:08 AM - MBS open near unchanged, stalling at current levels.

 

 

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