Industry News
Mortgage Industry News
Today’s Global Market
11/23/2011
Treasury prices are modestly lower this morning even as bad news pours in from around the world. A dismal report on Chinese manufacturing was combined with an unsuccessful German 10yr auction that did not receive bids on 35% of the overall size. Back in the US, the Fed has requested that banks stress test their loan portfolios against the possible effects of another recession. If this wasn’t enough, today’s condensed economic calendar showed slightly worse than expected results on weekly jobless claims and October US consumer spending. On the bright side, the October durable goods report decreased a less than expected -0.7% vs. estimates of a -1.0% decline and personal income increased 0.4% vs. estimates of a 0.3% increase. Today is the last full trading day of the week with markets closed tomorrow and an early close on Friday. Currently, the 10yr yield is at 1.943% (1.946% Tuesday) and the 2-10 yield spread is at 167bps, flatter by 2bp since yesterday morning.
