Present Market Conditions
Today’s Bond market opened positively due to a breakdown in talks in Greece pushed overseas Stock markets lower and is spilling over here in the U.S. Equity markets, while giving the Bond markets a boost.Yields around the world are easing back from their recent torrid run higher as the 10-Year Treasury Bond has fallen to 2.37% from last week's high of 2.50%. Also helping to support the U.S. Bond markets was a weak -2.0% reading from the June Manufacturing Index, which was below the 6% expected and down from the 3.1% recorded in May. The report is the first of three key manufacturing data points this month and the numbers will be closely watched by the Federal Reserve. The rest of the week Economic news are Housing Starts, Building Permits, Weekly Claims, CPI and the Philly Fed ( Manufacturing) Index and most important is the FED Meeting On Wednesday.
From that list, CPI ( Consumer Price Index) or Inflation Index and Philadelphia Manufacturing Index and FED meeting will have high impact on the mortgage rates.FED Meeting followed by a press conference from FED Chair Janet Yellen. There is zero chance of a Fed rate hike at this meeting, but the FED members will most likely start prepping the markets for a fall increase.
We are being very cautious this week and ahead of the closely watched Federal Open Market Committee’s monetary policy statement release on Wednesday ( FED ) meeting afternoon. If anything changes.