Today’s links on Eurozone chaos, Chinese inflation, and Bernanke supporting small business.
Posts Tagged ‘China’
Rate Impact of S&P Downgrade (part 3)
After parts 1 and 2 on the rate impact of S&P’s downgrade, here are a few new comments before Asian markets open. We’ll continue to discuss rate impacts as this situation plays out. – The first is not an additional comment but a repeat of what I said yesterday: S&P is 100% correct that the [...]
WeeklyBasis 7/10: Locking Rates In Volatile Markets
Rates were down .125% to end last week, regaining half of the .25% rise from the week before. As the last WeeklyBasis noted: “Jobs would have to be worse than already-low expectations” for rates to improve, and that’s exactly what happened, with only 18k non-farm payrolls created vs. 110k expectations. Safer assets like mortgage bonds [...]
Originations 7/5: Rest Of 2010 Economic Outlook
-How To Fix U.S. Job Market (Bill Gross, PIMCO) -Tea Party’s New Role Model: Mike Lee (Politico) -China Bears Are Dead Wrong: Jim Rogers (CNBC) -Banks Easing Terms On Loans Deemed As Risks (NYT) -How To Tell If Markets Freak Out About Debt Limit (WaPo) -John Mauldin’s Outlook on Second Half of 2010 (Minyanville) -Secrets [...]
Originations 6/29: Realtime Greek Austerity Vote Tracker
-BofA’s $8.5b Bad Loan Settlement (Bloomberg) -INFOGRAPHIC: Forex Market Basics (TradingHabits) -China’s Top Auditor Warns of Local Gov’t Defaults (Mish) -REAL TIME GREEK AUSTERITY VOTE TRACKER (ZeroHedge) -QE3 Advocate Krugman Sits Down With HousingWire (HousingWire) -A Word On Unemployment (MarginalRevolution via TheMoneyIllusion)
Rates, stocks rise on less bad retail sales and U.S. & Chinese inflation
Retail sales dropped 0.2% in May, the first drop in 11 months, but economists were expecting a 0.4% to 0.5% drop so stocks are rallying on the news plus some favorable earnings today (S&P 500 +16 to 1288). Meanwhile rates are up as mortgage bonds sell sharply (FNMA 4% coupon -62 basis points) on inflation [...]
Monetary Policy 101: Exchange Rates
Over the next month I will examine monetary policy in my weekly pieces. To start, I am recycling this piece I wrote last July. Eternal thanks to economist Steve Hanke of Johns Hopkins University who’s taken the time to educate me on these matters. Money Supply and monetary policy are set by the Federal Reserve. [...]
WeeklyBasis 4/9/11: Inflation For Dummies
Rates ended last week up .125%, which is the smallest increment consumer rates can move. So if you call that a roughly flat week, then it’s the sixth week of flat rates. But this rise is the result of an inflationary tone building in markets, and the latest business and consumer inflation data are released [...]
Rates rising as oil, gold, silver soar
Inflation is the theme driving rates higher this morning as mortgage bonds (FNMA 30yr 4% coupon) are down 22 basis points and the 10yr Note is down 31 basis points to yield 3.59. Average 30yr fixed mortgage rates (on loans to $417k) had been holding just below 5%, but if this selloff holds, it would [...]
Rates Net Even On 5 Data Points Today. More Inflation Data Tomorrow.
Below are snapshots (with links) of five big data points markets are trading on today. U.S. rate markets—aka mortgage bond markets—are taking four of them as non-threatening: flat U.S. retail sales, weak Eurozone economic growth, less-than-expected Chinese inflation, and despite higher UK inflation, markets are shrugging it off. For now, markets are also ignoring the [...]
