YOUR Mortgage Minute -- August 31,2009

Good Morning,

I hope that your Monday is off to a rockin' start

Mortgage markets were flat last week overall, although mortgage rates were somewhat volatile from day-to-day.
For rate shoppers, the best pricing was available Monday morning and Friday afternoon -- everything in between was slightly elevated.

It's the second consecutive week in which rates finished unchanged.

There was a string of good news last week about the economy, led by housing. New Home Sales, Existing Home Sales, and the Case-Shiller Index all surprised to the high-side and consumer confidence numbers came in higher-than-expected, too.

In prior weeks, strong data like this would have caused mortgage rates to rise. Last week, however, it didn't. Mostly because foreign demand for mortgage-backed bonds has remained strong.

This week, there's only one major data release and its timing may prove to be problematic.

Friday, the Bureau of Labor Statistics releases the August Non-Farm Payrolls report. With housing's rebound seemingly underway, the jobs report takes on added significance. Joblessness can undermine consumer confidence and spending and cause harm to the recovering U.S. economy.

This is one reason why rate shoppers should be cautious toward the end of the week -- the jobs report will move markets. The other reason to be cautious is because Friday is the day before the beginning of the Labor Day Holiday Weekend and Wall Street will be short-staffed throughout the day.

Fewer traders means more volatility -- if rates start to pop, they'll really pop. As we progress, I will certainly keep you posted if the situation warrants. In the meantime, I hope you enjoy your day, and if there is ever anything that I can do for you please let me know.

YOUR Mortgage Minute -- August 26, 2009

Good Morning,

I hope that your Wednesday is going strong for you.

In the Financial Markets Today, Mortgage Bonds are trading near unchanged levels and this comes after yesterday’s late day rally sparked by good results from the 2-year Treasury Note auction.

New Home Sales surged a tremendous 9.6% in July from June’s reading, signaling that the housing market is stabilizing. Adding to the positive tone of the report was a drop in inventories, which now stands at a 7.5 month supply from last month's 8.8 month reading.

I will continue to recommend Floating for now, but this afternoon the Treasury will auction more government debt and the results may influence pricing. If there are any changes, I will certainly let you know. In the meantime, if there is ever anything that I can do for you, please let me know.

YOUR Mortgage Minute -- August 24, 2009

Good Morning,

I hope that your Monday is off to a great start. School is back in session in most of the country now and Fall is just around the corner -- a great time of the year!

In the Markets this morning, Mortgage Bonds are still facing some tough overhead resistance after failing to break above a key level on Friday. In the absence of Bond friendly news or a Stock market decline, pricing could continue to worsen before improving.

There are no economic reports due for release today, but the rest of the week's reports will give investors a broad view of the economy. In addition, the Treasury Department is going to auction off $109 Billion in Securities on Tuesday, Wednesday and Thursday, which could certainly move the market.

I recommend floating for now, but be ready to lock should prices continue to drift lower. I will certainly keep you posted if the situation changes. In the meantime, I hope that you enjoy the rest of your day and if there is ever anything that I can do for you, please let me know.

YOUR Mortgage Minute -- August 20, 2009

Good Morning,

I hope that your Thursday is off to a great start.

In the Markets today, Bonds received a boost higher this morning, but the improvement was halted by a strong ceiling of resistance at the 200-Day Moving Average.

Helping boost Bonds was the Initial Jobless Claims report, which came in higher than expected after a string of better-than-expected reports recently. The news was a bit sobering, showing the labor market remains weak. Also in the news, the volatile Philly Fed Index showed the first manufacturing increase in a year and the highest reading since November 2007.

Currently, prices are facing tough ceilings of resistance. And with the Treasury Department's announcement this morning of next week's auctions, the risks of floating are greater than the rewards. Therefore, I recommend LOCKING if you are closing in the next couple of weeks. I will continue to monitor the situation for you. If any changes are warranted, I will certainly let you know.

In the meantime, I hope that you have a great rest of your day. If there is ever anything that I can do for you, please let me know.

YOUR Mortgage Minute -- August 17, 2009

Good Morning,

I hope your Monday is going great and that your week is off to a fabulous start!

In the Markets this morning, Mortgage Bonds are starting the week to the upside, as Stocks slide lower due to fears of a slower than anticipated world economic recovery.

Amidst all the global negativity was some better than expected news this morning on US manufacturing, as the Empire State Index came in far better than expectations. There are no Treasury auctions this week, but this Thursday will bring the announcement for the upcoming round of Bond supply that will hit the market next week. Bonds have not reacted well to previous announcements of additional supply, so this will be something to watch for later this week.

I recommend floating for now as Stocks continue to struggle, but I will be watching closely in case the market changes direction. You can certainly follow me on Twitter @MortgageMinute for real time updates, if you wish. In the meantime, if there is ever anything that I can do for you, please let me know.

YOUR Mortgage Minute -- August 13, 2009

Good Afternoon.

I hope that this note finds you well and that you are having an AWESOME Thursday so far.

In the Markets today, Mortgage Bonds were on the plus side late this morning after initially dropping due news that Germany and France have declared that their recessions are over, as well as Wal-Mart's announcement that it beat earnings estimates for the 2nd Quarter.

Helping boost Mortgage Bonds, however, was the Initial Jobless Claims report, which came in above expectations. Also helping Bonds was news that Retail Sales dropped in July by 0.1%, which was well below the 0.8% gain that was expected. This signals that consumers are still saving more than spending.

Currently, Bonds are sitting comfortable after the up-and-down roller coaster like trading atmosphere this morning. I recommend floating for now as I watch to see how the markets receive today's Treasury auction. But be prepared to lock if the situation turns volatile like yesterday. You can follwo my realtime updates on Twitter at @MortgageMinute In the meantime, I hope you enjoy the rest of your day. If there is ever anything that I can do for you, please let me know.

YOUR Mortgage Minute -- August 12, 2009

Good Morning,

In the markets today, Bonds are attempting to hold on to their gains this morning in advance of two big events coming up this afternoon. At 1 o'clock Eastern Time, the results of the $23 Billion auction of 10-year Notes will be released. Then at 2:15, the Fed will issue its Policy Statement after its two-day Fed Meeting.

The news from the Fed will be both multi-faceted and potentially market moving. Any hints of inflation and hikes could cause the market to swing in one direction. However, news of Bond purchases could cause an opposite reaction.

I recommend floating as of now, but be prepared to change course if the action heats up this afternoon. If the situation changes, I will certainly let you know. In the meantime, I hope that you have a great rest of your day. If there is ever anything that I can do for you, please let me know.