Industry News
Mortgage Industry News
Treasury Announcement
08/20/2010
The Treasury announced that they would be reducing the amount being auctioned next week in 2yr, 5yr, and 7yr notes. There will be a total of $102B sold, the lowest of that combination since May 2009. ECB member Weber said that they may withdraw emergency lending measures to banks in the first quarter of 2011. Right now, the futures market is pricing in a 93% chance that the Fed keeps rates between 0% and 0.25% through December 14th, 2010. Currently, the Ten Year yield is at 2.568% (2.65% yesterday) and the 2-10 yield spread is at 207bps, flattening 8bps since yesterday morning.
