Industry News
Mortgage Industry News
Today’s Market News
08/30/2011
Treasuries are surging higher today, as early morning comments from Fed President Evans indicate the need for additional accommodative policy to help the struggling US economy, particularly employment. Prior to these comments, treasuries had already caught a modest overnight bid after yesterday’s selloff. Investors seem to be optimistic that today’s FOMC minutes might provide insight into the stimulus tools that Fed Chairmen Bernanke mentioned at last week’s Jackson Hole Summit. In other economic news, today’s Case-Shiller 20-city index is expected show continued woes for the US housing market. Consensus estimates are predicting a -4.6% decline in June prices, which comes on the heels of a -4.5% decline in May. Currently, the 10yr yield is at 2.19% (2.246% Monday) and the 2-10 yield spread is at 200 bps, flatter by 4 bps since yesterday morning.
