Industry News
Mortgage Industry News
Spending Increases Sixth Time
12/23/2009
Personal spending increased for the sixth time in seven months due to holiday discounts; personal income increased by the largest percentage since May. Stock futures and commodities are up off of this data; the Ten Year Yield is near a four-month high ahead of next week's auction supply announcement. Right now, the futures market is pricing in an 85% chance that the Fed keeps rates somewhere between 0% and .25% through April 28th, 2010. Currently, the Ten Year yield is at 3.719% (3.71% yesterday) and the 2-10 yield spread is at 283bps, flattening 1bp since yesterday morning.
