CHM Blog

Yesterday’s July CPI inflation release confirmed inflation remains mild. The only component it the report that increased above forecasts was year/year core inflation at 3.1% against estimates of 3.0% and up from 2.9% in June. Year/year overall CPI at 2.7% against estimates at 2.8% and unchanged from June. The stock indexes pushed to new highs (S&P and NASDAQ).

This morning stock indexes added to yesterday’s gains in futures trading prior to the 9:30 am ET open.

There are no economic releases today; weekly MBA mortgage applications were strong last week. Total mortgage application volume rose 10.9% from the previous week, the most in two months. Applications for a refinance a mortgage, which are more sensitive to short-term changes, surged by 23% from the earlier week to extend the 5.1% jump in the last period of July. ARM applications increased 25% to their highest level since 2022. Purchase applications still dragging but up 1.4% last week.

At 9:30 am the DJIA opened +143, NAARM applications increased 25 percent to their highest level since 2022, SDAQ +90, S&P +20. The 10 year note at 9:30 am at 4.25% -4 bps from yesterday. FNMA 6.0 30 year coupon at 9:30 am +14 bps from yesterday’s close and +21 bps from 9:30 am yesterday.

Nothing left on the schedule today.

The 10 year note has not traded below 4.20% since the begging of April, now 4.25%.

PRICES @ 10:00 AM

10 year note: 4.25% -4 bp

5 year note: 3.78% -4 bp

2 year note: 3.70% -4 bp

30 year bond: 4.84% -4 bp

30 year FNMA 6.0: @9:30 am 101.95 +14 bp (+21 bp from 9:30 am yesterday)

30 year FNMA 6.5: @9:30 am 103.49 +5 bp (+6 bp from 9:30 am yesterday)

30 year GNMA 6.0: @9:30 am 101.85 +4 bp (+2 bp from 9:30 am yesterday)

Dollar/Yen: 147.38 -0.46 yen

Dollar/Euro: $1.1791 +$0.0025

Dollar Index: 97.82 -0.28

Gold: $3,409.30 +$10.30

Bitcoin: 120,427 +751

Crude Oil: $62.98 -$0.19

DJIA: 44,843 +385

NASDAQ: 21,774 +92

S&P 500: 6474 +29

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.