October 20th, 2023 9:32 AM by Richard Sardella MLO.100007700/NMLS 233568
It is early but already some volatility overnight; the 10 year note yield briefly pushed above 5.00% (5.02%) about 4 am ET then dropped back to 4.92%, bounced back to unchanged, by 9 am 4.96% -2 bps from yesterday.
There isn’t any scheduled data today, the day’s focus is the mid-east situation, and digesting Pres. Bidens short address to the nation last night. His comments were well telegraphed yesterday afternoon; $100B for Israel, Ukraine, Taiwan and the US southern border.
Edging closer to a two-front war for Israel; last night Israel said it struck Hamas targets in Gaza and hit Hezbollah holdings in response to fire from Lebanon, where the Iran-backed group is based. Today Saudi Arabia and the United Arab Emirates met in Riyadh — their first public encounter in more than three years — indicating an effort by the two regional heavyweights to put their differences to one side and confront the threat of the Israel-Hamas war becoming a wider conflict.
At 9:30 am the DJIA opened -38, NASDAQ -36, S&P -8. 10 year 4.94% -5 bps. FNMA 6.0 30 year coupon at 9:30 am +19 bps from yesterday and +5 bps from 9:30 am yesterday.
PRICES @ 10:00 AM
10 year note: 4.92% -7 bp
5 year note: 4.87% -9 bp
2 year note: 5.10% -6 bp
30 year bond: 5.08% -3 bp
30 year FNMA 6.5: @9:30 am 98.94 +20 bp (+19 bp from 9:30 am yesterday)
30 year FNMA 6.0: @9:30 am 96.71 +19 bp (+6 bp from 9:30 am yesterday)
30 year GNMA 6.0: @9:30 am 97.36 +19 bp (+8 bp from 9:30 am yesterday)
Dollar/Yuan: $7.3164 +$0.0035
Dollar/Yen: 149.90 +0.10 yen
Dollar/Euro: $1.0587 +$0.0002
Dollar Index: 106.16 -0.09
Gold: $1990.10 +$9.70
Bitcoin: 29,632 +908
Crude Oil: $89.84 +$0.47
DJIA: 33,315 -99
NASDAQ: 13,141 -45
S&P 500: 4263 -15
Richard Sardella has been actively managing and providing services in the mortgage industry for over 30 years. Richard serves on the board of directors as President of Colorado Home Mortgages Inc.
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.
MLO of record MLO.100007700 / NMLS#233568 / CHM NMLS#127716.