Industry News
Mortgage Industry News
Fed Announcement
11/05/2009
The Fed announced yesterday that they will be purchasing a total $175B of agency debt instead of the $200B originally alotted. This morning,Initial jobless claims fell more than expected and nonfarm productivity increased at the fastest pace in 6 years. Consensus for tomorrow's Nonfarm Payrolls is -175K. Right now, the futures market is pricing in an 73% chance that the Fed keeps rates somewhere between 0% and .25% through March 16th, 2010. Currently, the Ten Year yield is at 3.527% (3.40% yesterday) and the 2-10 yield spread is at 264bps, steepening 7bps since yesterday morning.
