The National Association of REALTORS® (NAR) reports that single-family existing home sales are expected to rise to a decade high in 2017, fueled by a strong labor market and improving household confidence. The NAR reports that the first quarter of 2017 saw 5.62 million existing homes sold, the best quarter in a decade, up 3.5% from the same period last year. The NAR has forecasted that sales will increase 5% in 2017. However, started home shortages could be a problem and may discourage would-be first time homebuyers.
Ellie Mae reported on Friday that closing times for mortgage loans fell in April for the third consecutive month. The time it takes to close a loan fell to 42 days in April from 43 in March and a big drop since the 51 days seen in January. On the refinance end, it now takes 41 days to close the loan from 43 days in March. Ellie Mae cites improved technology in the reduction of time.
Motorists are gearing up for the long Memorial Day weekend next week as Americans gas up their cars and head to their favorite getaway destinations. The national average price for a regular gallon of gasoline fell to $2.34 this week from $2.40 a month ago, though up from $2.26 a year ago. The increased summer driving could cause a bump up in prices, but motor club AAA doesn't see a significant increase.
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.
|Commentary at the close: A rather quiet session took place in the Mortgage Bond arena today after a volatile week, which was touched off by the political turmoil out of Washington. There were no economic reports released today to influence trading. The Fannie Mae 30-yr 3.5% coupon closed at 103.0, -6bp. Stocks rallied as the Trump slump eased. The Dow gained 141.82 points to 20,804.84, the S&P 500 was up 16.01 points to end at 2,381.73, while the NASDAQ rose 28.57 points to end at 6,083.70. WTI oil closed at $50.38/barrel, +$1.03. The 10-yr T Note yield closed at 2.23%. Next week's calendar is on the light side and trading will most likely take on a summer tone by week's end heading into the Memorial Day weekend. Have a great weekend!|
|Fri, May 19 3:24 PM MBS able to climb back to near unchanged levels in quiet trading. Stocks holding solid gains.|
|Fri, May 19 11:54 AM MBS trade in a tight range this morning with modest losses, Dow +127 points.|
|Fri, May 19 9:57 AM Stock gains accelerate.|
9:39 AM ET 3.5% Fannie Mae 30-yr coupon down 6 bp at a price of 103.00 down 19 bp when rates were set yesterday at 10:00 am Open 102.81 High 103.00 Low 102.78
Numbers to watch for:
102.40 50 day moving average the market considers a buying opportunity
102.71 25 day moving average the market now considers a buying opportunity.
103.34 200 day moving average the market considers a selling opportunity
|Fri, May 19 9:39 AM Stocks are trading modestly higher soon after the open.|
|Fri, May 19 8:26 AM There are no economic reports due for release today.|
|Fri, May 19 8:25 AM Fed Fund Futures show a 74% chance of a hike to the Fed Funds Rate at the June 14 FOMC meeting.|
|Fri, May 19 8:17 AM U.S. dollar index 97.24, -0.52.|
|Fri, May 19 8:16 AM U.S. dollar index $50/barrel, +$0.65.|
|Fri, May 19 8:15 AM The 10-yr T Note yield rises to 2.25% from yesterday's low of 2.18%.|
|Fri, May 19 8:12 AM Bond prices push lower on higher global equity markets as the Trump slump eases.|
Johnmarbury.com has attempted to verify the information contained on this post. However any aspect of such may change without notice. Johnmarbury.com does not provide investment advice and does not represent that any of the information or related analysis is accurate or complete at any time. On October 5th we started posting our rates and leaving them on the site for you to refer back to. This will allow you see where actual rates have been along with the news that caused the fluctuations on the rate sheet. I ask that you forgive my spelling and grammatical mistakes. This is due writing skills that are lacking and the need to communicate quickly. Most of the information posted on this blog along with the charts and indexes are available all during the day to the subscrbers of www.themortgagemarketguide.com The cost of subscription is very reasonable.