Markets weigh Initial Weekly Jobless Claims against manufacturing data

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Today's Mortgage Rate Summary

How Rates Move:

Conventional and Government (FHA and VA) lenders set their rates based on the pricing of Mortgage-Backed Securities (MBS) which are traded in real time, all day in the bond market. This means rates or loan fees (mortgage pricing) moves throughout the day, being affected by a variety of economic or political events. When MBS pricing goes up, mortgage rates or pricing generally goes down. When they fall, mortgage pricing goes up.

Rates Currently Trending: Neutral

Mortgage rates are moving sideways today. The MBS market improved by +31 bps yesterday. This was enough to decrease mortgage rates or fees. The market experienced moderate volatility yesterday.

Today's Rate Forecast: Neutral

Housing: December Building Permits had an annualized pace of 1.330M vs. est. of 1.370M. But Housing Starts were 1.382M vs. est. of 1.359M... so a mixed bag there.

Jobs: Initial Weekly Jobless Claims gave us yet another head-scratcher, falling to only 190K vs. est. of 214K. The more closely watched 4 week moving average dropped to 206K. Continuing Claims were 1.647M vs. est. of 1.660M.

Manufacturing: January Philly Fed Manufacturing was bad but less-worse than expected, contracting at -8.9 vs. est. of -11

The Fed: Today we will hear from Susan Collins, Lael Brainard and John Williams.

Today's Potential Rate Volatility: Neutral

This morning markets are under mild pressure. Volatility has been a little choppy but very little actual movement.

Bottom Line:

If you are looking for the risks and benefits of locking your interest rate in today or floating your loan rate, contact your mortgage professional to discuss it with them.

Source: TBWS

All information furnished has been forwarded to you and is provided by thetbwsgroup only for informational purposes. Forecasting shall be considered as events which may be expected but not guaranteed. Neither the forwarding party and/or company nor thetbwsgroup assume any responsibility to any person who relies on information or forecasting contained in this report and disclaims all liability in respect to decisions or actions, or lack thereof based on any or all of the contents of this report.

Wymac Capital, Inc.

LICENSING:
CalRE: 01121628
NMLS: 18766

Russell McDonald

NMLS: NMLS: 290837 | Broker CalRE: 01150730

Wymac Capital, Inc.

346 Rheem Blvd #107, Moraga CA 94556

Company NMLS: 18766

Office: 925-937-4300

Email: russellm@wymac.com

Web: https://wymac.com

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Russell McDonald

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NMLS: NMLS: 290837 | Broker CalRE: 01150730


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