August 4th, 2017
Suggestions that can change during the day: 11:23 AM EST - Today's strong Jobs Report for July sent Mortgage Bond yields higher, while Stocks are improving. We'll keep an eye on trading while floating.
Rates Effective August 4th, 2017 11:11 AM EST
No origination on all posted rates. Call for other rates. **Rate Assumptions below the news
Conforming loans $424,100 and under
30-Year Fixed Rate 4.000% (3.961%APR)
15-Year Fixed Rate 3.250% (3.397% APR)
After close Commentary: MBS ended the week on a slightly lower note after the solid Jobs Report for July was released. The benchmark Fannie Mae 30-yr coupon closed at 103.12, -16bp and up modestly for the week. The Dow closed at a record high of 22092.81 up 66.71 points. The S&P closed at 2476.83 up 4.67 points while the NASDAQ finished the week at 6351.56 up 11.22 points. WTI oil closed at 49.48 up 35 cents. 10-yr yield 2.26%. Next week the economic calendar is limited to the Consumer and Producer Price Index. Have a great weekend!
Late morning Commentary: The Bureau of Labor Statistics reported that 209,000 jobs were created in July, above expectations of 181,000. Revisions to May and June yielded 2,000 more new jobs than previously reported. The Unemployment Rate fell to 4.3% from 4.4%, the lowest since March 2001. Average hourly earnings rose by 0.3% from June to July, in line with estimates and up from 0.2% in June. Year-over-year wages grew 2.5% compared with 2.4% in June. Overall, it was a good report as the labor market continues to strengthen.
Fannie Mae reported on Thursday that home prices hit an all-time high in the second quarter of 2017, which was above the previous peak in 2006. Home prices were up 2.4% in the second quarter of 2017 from that 2006 period. The gains varied in a big way. North Dakota saw the biggest increase since 2006 of 53.7%, while the growth rate in Nevada fell nearly 25%.
11:32 AM ET 3.5% Fannie Mae 30-yr coupon down 19 bp at a price of 103.09 up 0 bp when rates were set today at 10:00 am et Open 103.22 High 103.22 Low 103.06
Dailey Moving averages we are currently above: 100 $102.67 200 $102.75 25 102.74 and below 50 102.95 Others numbers to watch this is a psychological number because all of the Zeros 103.00
Hopefully we can consider 103 is the bottom at this time.
|Fri, Aug 04 10:04 AM MBS edging lower, Stocks giving up gains as traders and investors take some chips off the table after the recent gains.|
|Fri, Aug 04 9:39 AM S&P trades higher soon after the opening, +5.81 points.|
|Fri, Aug 04 9:29 AM Rob Chrisman reports Harvard research finds that Americans will spend $316B remodeling their homes in 2017 vs. $296B in 2016. This also compares to a low of $222B (in 2009) and a high of $334B in 2006 (and adjusted for inflation).|
|Fri, Aug 04 9:05 AM Average hourly earnings did rise to 0.3% in July from 0.2% in June.|
|Fri, Aug 04 8:41 AM S&P futures edge a bit higher after the Jobs Report.|
|Fri, Aug 04 8:40 AM The Labor Force Participation Rate 62.9 from 62.8, still historically low.|
|Fri, Aug 04 8:39 AM The U6 number unchanged at 8.6%. U6 - total unemployed, plus all persons marginally attached to the labor force, plus total employed part time for economic reasons, as a percent of the civilian labor force plus all persons marginally attached to the labor force.|
|Fri, Aug 04 8:38 AM Not a big reaction in MBS after the data.|
|Fri, Aug 04 8:36 AM Average hourly earnings 0.3%, in line.|
|Fri, Aug 04 8:35 AM May and June saw a meager revision higher of a total of 2K.|
|Fri, Aug 04 8:32 AM July Jobs Report shows 209K new workers hired vs the 181K expected.|
|Fri, Aug 04 8:32 AM The Unemployment Rate 4.3% from 4.4% and in line with estimates.|
|Fri, Aug 04 8:22 AM Average hourly earnings will be a key number in the Jobs Report.|
|Fri, Aug 04 8:21 AM U.S. dollar index 92.68, near unchanged.|
|Fri, Aug 04 8:21 AM WTI oil $48.87/barrel, near unchanged.|
|Fri, Aug 04 8:14 AM S&P futures higher ahead of the numbers but that can all change in 15 minutes.|
|Fri, Aug 04 8:11 AM MBS open flat to lower ahead of the 8:30 a.m. ET release of the July Jobs Report where it is expected that U.S. employers added 181K new workers.|
Actual payments will vary based on your individual situation and current rates. The above rates are subject to change.
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. Forgive my spelling and grammatical mistakes due to writing skills that are lacking and the need to communicate quickly.