For information on highlighted terms in the commentary, click here. Stock prices are stabalizing after a rally on Monday. The Dow has been up 8 of the last nine sessions, and this has hurt MBS prices. We have seen mortgage bond prices on 30-year fixed loans erode by about 150 basis points since the beginning [...]

For information on highlighted terms in the commentary, click here. Stocks are faring well after stronger then expected employment numbers. Data showed the economy added jobs, positively revised previous months’ numbers and indicated more people are encouraged to seek employment. Stocks have fallen from their highs this morning after a weak manufacturing data in the [...]

“The awful jobs numbers kicked everyone in the teeth,” MarketWatch, “Investors are grappling with the growing disconnect between strong corporate earnings and a faltering U.S. economy. Currently, 75% of the 484 companies in the S&P 500 that have reported have beaten Wall Street expectations, compared with a quarterly average of 62%.” Investors saw good earnings [...]

For information on highlighted terms in the commentary, click here. Stocks are back in negative territory after weak economic news in unemployment and manufacturing. After this mornings jobless claims report jumped up, we now have close to 10 million unemployed workers in the country. Also, a regional report from the Philadelphia Fed showed that manufacturing [...]

For information on highlighted terms in the commentary, click here. MBS lost steam on Friday and dropped again yesterday, ending an impressive run of gains. Today, the market is flat and there is not much action in stocks either. There is no major news, economic or legislative, due out so we expect a calm day. [...]

“Jobs are the only tonic to calm a skittish national mind-set,” stated “the pace of economic recovery is likely to be more modest in the near term than had been anticipated.” The central bank said it will buy U.S. Treasuries with proceeds from mortgage holdings to keep money and credit flowing for a recovery. Initial [...]

Since the end of the Great Depression, home ownership has been subsidized and encouraged by the federal government. The debate on the future of this effort begins on Tuesday when the Obama administration convenes the conference on the U.S. housing finance system. The conversation will center on what to do with mortgage giants Fannie Mae [...]

For information on highlighted terms in the commentary, click here. Stocks soared on Monday, but were tame yesterday and starting off flat this morning. ADP released better then expected employment numbers and we will see if that coincides with a better report from the Federal government later in the week. MBS had a strong rally [...]

The Department of Housing and Urban Development (HUD) has initiated public comment periods to two potential rules changes. Both would have a significant effect on mortgage lending. Rule change 1 would lower the amount of contributions a seller could make on FHA loans from 6% to 3%. In doing this, HUD is hoping to create [...]

For information on highlighted terms in the commentary, click here. Stocks are flat after opening on the upside. The Dow continues to hover around 10,000 points; just as it appears to break out or drop below, the market reacts. This tug of war is keeping the economy moving, but at a snails pace. Mixed earnings [...]