Industry News
Mortgage Industry News
Jobless Claims Mixed
05/27/2010
Jobless claims were mixed, with initial printing slightly higher than expectations and continuing slightly lower. Both remain elevated. According to Citigroup, Greece's struggle to repair its budget crisis may signal to other countries that it is easier to default on bond obligations than to cut spending, creating "massive" risk to those bondholders. Right now, the futures market is pricing in a 69% chance that the Fed keeps rates at .25% through September 21st, 2010. Currently, the Ten Year yield is at 3.20% (3.24% yesterday) and the 2-10 yield spread is at 244bps, steepening 3bps since yesterday morning.
