Industry News
Mortgage Industry News
Personal Income and Spending Increase
01/31/2011
Both Personal Income and Spending increased in December. The markets will be focusing on the protests in Egypt today to see if the violence spreads to neighboring countries. Stock futures, mortgages and Treasuries are all pointing lower. ADP (consensus +150K) and Nonfarm payrolls (+140K) will be released later this week, Wednesday and Friday, respectively. Right now, the futures market is pricing in an 80% chance that the Fed keeps rates between 0% and 0.25% through June 22nd, 2011. Currently, the Ten Year yield is at 3.35% (3.44% on Friday) and the 2-10 yield spread is at 280bps, flattening 3bps since Friday morning.
