May 26th, 2026 9:22 AM by Richard Sardella MLO.100007700/NMLS 233568
Markets continue to focus on Iran and the possibility of some kind of breakthrough. Some news outlets saying a deal has been largely agreed to. Optimism within markets is high. The 10 year note at 8 am ET down 7 bps from last Friday to 4.49%, crude oil down $4.00, MBSs began 17 bps higher than last Friday, and stock indexes higher.
Some key economic reports this week. Today the May Conference Board consumer confidence index (92.0 from 92.8), $69B 2 year note auction. Wednesday $70B 5 year note auction. Thursday weekly claims (213K from 209K), Q1 GDP second look (+2.1% from +2.0% on the first look. April durable goods orders (month/month +2.8% from +0.8% in March). April PCE inflation (month/month +0.5% from +0.7% in March, year/year +3.8% from 3.5%); core PCE ex food and energy (month/month +0.3% unchanged from March, year/year +3.3% from 3.2%). April personal income (month/month +0.4% from +0.6%, personal spending +0.5% from +0.9%). April new home sales (662K from 682K). $44B 7 year note auction. Friday May Chicago purchasing managers index (51.2 from 49.2).
March Case/Shiller home price index -0.2% with estimates of +0.1%.
May Conference Board consumer confidence index thought to be 92.0. The Conference Board Consumer Confidence Index dipped 0.7 points to 93.1 (1985=100) in May, down from an upwardly revised 93.8 in April. The Present Situation Index—based on consumers’ assessment of current business and labor market conditions—retreated by 3.2 points to 121.2. The Expectations Index—based on consumers’ short-term outlook for income, business, and labor market conditions—rose by 1.0 points to 74.4. The survey period for this month’s preliminary results was May 1–19, encompassing the ongoing war in the Middle East that is placing upward pressure on prices globally.
It has been a volatile month of May, on 5/7 the 10 year note at 4.39%, on 5/19 4.67%, now 4.49%.
PRICES @ 10:00 AM
10 year note: 4.49% -7 bp
5 year note: 4.19% -7 bp
2 year note: 4.06% -7 bp
30 year bond: 5.02% -5 bp
30 year FNMA 6.0: @9:30 am 101.82 +14 bp (+13 bp from 9:30 am Friday)
30 year FNMA 5.5: @9:30 am 100.17 +28 bp (+21 bp from 9:30 am Friday)
30 year GNMA 6.0: @9:30 am 101.71 +11 bp (+11 bp from 9:30 am Friday)
Dollar/Yen: 159.26 +0.35 yen
Dollar/Euro: $1.1630 -$0.0012
Dollar Index: 99.13 -0.10
Gold: $4,526.20 +$3.00
Bitcoin: 76,817 -567
Crude Oil: $93.13 -$3.47
DJIA: 50,657 +78
NASDAQ: 26,620 +276
S&P 500: 7525 +52
Richard Sardella has been actively managing and providing services in the mortgage industry for over 30 years. Richard serves on the board of directors as President of Colorado Home Mortgages Inc.
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MLO of record MLO.100007700 / NMLS#233568 / CHM NMLS#127716.