Industry News
Mortgage Industry News
Treasuries and Mortgages Rise
09/07/2010
European stocks and US equity futures are lower on concern that Europe’s debt crisis will worsen; yield spreads between German debt and that of Ireland and Greece widened; Treasuries and mortgages are higher. The Treasury will auction $33B in 3yr notes today‚ $21B in 10yr notes tomorrow, and $13B of 30yr bonds on Thursday. Right now‚ the futures market is pricing in a 93% chance that the Fed keeps rates between 0% and 0.25% through December 14th‚ 2010. Currently‚ the Ten Year yield is at 2.64% (2.75% on Friday) and the 2-10 yield spread is at 215bps‚ flattening 7bps since Friday morning.
