April 23rd, 2025 1:05 PM by Richard Sardella MLO.100007700/NMLS 233568
Yesterday in an anticipation of softening trade deals stock indexes rallied after remarks from Sec of Treasury Bessent about trade tariffs, he said he expects the U.S. and China to start de-escalating trade hostilities in the “very near future,” Yesterday the DJIA +1017, this morning in pre-open future trading the DJIA up another 700 points at 8:30 am ET.
Weekly MBA mortgage applications decreased last week. Apps down 12.7% from the previous week on the period ending April 18th, the sharpest decline since October 2024, and extending the 8.5% slump from the previous week. Applications to refinance a home slumped by 20% on the week. Applications for a mortgage to buy a new home fell by 7% despite evidence of higher inventory.
Foreign investors are increasingly concerned about buying US assets and are selling. Uncertainty reigns around the world and until some clarity occurs the demand for US debt is lessening. Recent Treasury auctions have met with soft foreign demand. Yesterday’s 2 year note auction compared to previous 2 year auctions was very weak. This afternoon $70B of 5 year notes are for sale.
Gold and crude oil falling this morning. Gold made another historic high yesterday. The dollar hasn’t increased much so far.
At 9:30 am the DJIA opened +732, NASDAQ +565, S&P +132. 10 year 4.28% -12 bps. FNMA 6.0 30 year coupon at 9:30 am +47 bps from yesterday’s close and +43 bp from 9:30 am yesterday.
At 9:45 am April Flash composite index 51.2 down from 53.5 in March.
At 10 am March new home sales expected at 682K increased to 724K.
At 1 pm $70B 5 year note auction.
PRICES @ 10:00 AM
10 year note: 4.31% -9 bp
5 year note: 3.96% -3 bp
2 year note: 3.84% +5 bp
30 year bond: 4.76% -12 bp
30 year FNMA 6.0: @9:30 am 101.13 +47 bp (+43 bp from 9:30 am yesterday)
30 year FNMA 6.5: @9:30 am 102.77 +25 bp (+21 bp from 9:30 am yesterday)
30 year GNMA 6.0: @9:30 am 100.80 +33 bp (+32 bp from 9:30 am yesterday)
Dollar/Yen: 142.55 +0.95 yen
Dollar/Euro: $1.1356 -$0.0065
Dollar Index: 99.24 +0.33
Gold: $3,299.70 -$119.70
Bitcoin: 93,571 +2412
Crude Oil: $63.51 -$0.80
DJIA: 40,208 +1021
NASDAQ: 16,933 +633
S&P 500: 5467 +179
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.
All information furnished has been forwarded to you and is provided by thetbwsgroup only for informational purposes. Forecasting shall be considered as events which may be expected but not guaranteed. Neither the forwarding party and/or company nor thetbwsgroup assume any responsibility to any person who relies on information or forecasting contained in this report and disclaims all liability in respect to decisions or actions, or lack thereof based on any or all of the contents of this report.
MLO of record MLO.100007700 / NMLS#233568 / CHM NMLS#127716.