January 3rd, 2022 11:30 AM by Richard Sardella MLO.100007700/NMLS 233568
Happy New Year. The 10 yr began the session at 1.56% +5 bps and MBSs -22 bps.
The Senate still trying to cobble a spending plan that will pass. Senate Majority Leader Chuck Schumer is vowing to bring a revised version of the $2 trillion tax, climate, and spending package to the floor for a vote as soon as this month, despite unresolved differences within his party that have stalled the legislation. Schumer’s strategy still faces a major roadblock from West Virginia Senator Joe Manchin, who stunned Biden and fellow Democrats last month by saying he wouldn’t support the House-passed bill and was walking away from negotiations.
At 9:30 am the DJIA opened +68, NASDAQ +103, S&P +17. 10 yr note 1.59% +8 bps. FNMA 2.5 30 yr coupon -25 bps from Friday’s close and -16 bps from 9:30 am Friday.
At 9:45 am the Dec purchasing mgrs. index (PMI), expected at 57.8, as released 57.7.
At 10:00 am Nov construction spending expected +0.6%, as reported +0.4%)
This is employment week on Friday, the rest of the scheduled data this week shouldn’t generate much direct reaction.
PRICES @ 10:00 AM
10 yr note: 1.60% +9 bp
5 yr note: 1.36% +9 bp
2 Yr note: 0.80% +7 bp
30 yr bond: 1.98% +7 bp
Libor Rates: 1 mo 0.101%; 3 mo 0.209%; 6 mo 0.339%; 1 yr 0.583% (12/31/21)
30 yr FNMA 3.0: @9:30 103.52 -12 bp (+4 bp frm 9:30 Friday)
30 yr FNMA 2.5: @9:30 101.82 -25 bp (-16 bp frm 9:30 Friday)
30 yr GNMA 2.5: @9:30 102.22 -25 bp (-14 bp frm 9:30 Friday)
Dollar/Yuan: $6.3559 unch
Dollar/Yen: 115.30 +0.20 yen
Dollar/Euro: $1.1323 -$0.0049
Dollar Index: 96.08 +0.12
Gold: $1805.70 -$22.90
Bitcoin: 47,156 +166
Crude Oil: $75.29 +$0.08
DJIA: 36,347 +8
NASDAQ: 15,717 +72
S&P 500: 4772 +6
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.