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Loan Depot
Sales Manager
Barry David Krevoy
Sales Manager
Loan Depot
NMLS#: 923896
Phone: 949-735-4009
Email: barry@loanofficerbarry.com
Website: http://www.loanofficerbarry.com
Daily Market Analysis

Perhaps markets will settle down as we start the weekend; US and global stocks, commodities and the dollar all had volatile weeks. The exception in all this volatility was the interest rate markets. Yesterday the stock market exploded for the DJIA’s biggest move since 2008. Oil this week fell as gold continued to decline. This morning once again the 10-yr opened unchanged at 2.86% but has edged lower to 2.85%. MBS prices early on their open +5 bps from yesterday’s unchanged prices.

Secretary of Treasury Mnuchin said he was preparing more tariffs on news that Turkey is sending its lira down again this morning. Turkey is moving closer to Russia and continues to refuse releasing the American pastor accused of being involved in the coup in 2016. As long as he is kept in Turkey, regardless of all other issues, President Trump will not let up; saying the United States “will pay nothing” for Brunson’s release, “but we are cutting back on Turkey!” He called Brunson “a great patriot hostage.”. Turkish officials say the case is a matter for the courts.

Also today there's news that Angela Merkel and Vladimir Putin are scheduled to meet tomorrow in Berlin to discuss Syria, Ukraine and the Nord Stream 2 pipeline that President Trump recently singled out for special hatred. The talks may help Putin end Russia's isolation and reaffirm Merkel's pivotal role in Europe.

President Trump asked the SEC to review ending quarterly reporting for U.S. businesses to ease regulations and spur growth. "In speaking with some of the world’s top business leaders I asked what it is that would make business (jobs) even better in the U.S. ‘Stop quarterly reporting & go to a six-month system,’ said one. That would allow greater flexibility & save money. I have asked the SEC to study!" Trump said in a Twitter post. One criticism is that if companies are striving to report profit gains every quarter, they are more likely to buy back shares and cut costs than invest in their businesses.

At 10:00 am mid-month the University of Michigan consumer sentiment index was expected to be unchanged from the final July read at 97.9; as released the index fell to 95.3, the lowest this year. Also at 10:00 am, July leading economic indicators were expected +0.4%, as released +0.6%. While it’s still mid-month, consumer sentiment is experiencing a surprising drop

No major news today is expected. Mortgage rates remain generally unchanged this week, last Friday the Fannie 4.0 30 yr. coupon ended the week at a price at 101.81, at 10:00 am its price 101.86. No movement, as is the case for the bellwether 10-yr note.

PRICES @ 10:10 AM

10 yr. note: +2/32 (6 bp) 2.86% unch

5 yr. note: +2/32 (6 bp) 2.73% -2 bp

2 Yr. note: +1/32 (3 bp) 2.60% -1 bp

30 yr. bond: +12/32 (37 bp) 3.01% -2 bp

Libor Rates: 1 mo. 2.077%; 3 mo. 2.322%; 6 mo. 2.513%; 1 yr. 2.816%

30 yr. FNMA 4.0 Sept: @9:30 101.93 +3 bp (+3 bp from 9:30 yesterday)

15 yr. FNMA 4.0: @9:30 102.39 unch +1 bp from 9:30 yesterday)

30 yr. GNMA 4.0: @9:30 102.50 +3 bp (+2 bp from 9:30 yesterday)

Dollar/Yuan: $6.8777 -$0.0049 (China intervening to stop the slide)

Dollar/Yen: 110.47 -0.42 yen

Dollar/Euro: $1.1415 +$0.0037

Dollar Index: 96.31 -0.29

Gold: $1186.20 +$2.20

Crude Oil: $66.22 +$0.76

DJIA: 25,543.99 -14.74

NASDAQ: 7761.12 -45.41

S&P 500: 2835.79 -4.90

About Barry David Krevoy

Barry is a Sales Manager with Loan Depot in Irvine CA. In his blog, www.LoanOfficerBarry.com, he delivers his insights on the Mortgage Industry, Real Estate Market and Economy. His mission is to provide the finest level of service with proper locking advice and communication.

About This Report And Disclosure Information

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.

Rates are for 45 day pricing and are not for public distribution. Rate and APR will vary based on factors such as points, loan amount, loan-to-value, borrower’s credit, property type and occupancy. Loan programs are based on owner occupied and full documentation.