Friday, April 6, 2018

Weak NFP Helps Bonds Break Key Floor; Mortgage Rates Near 2-Month Lows After Jobs Report

It would be hard to have any discussion about important technical levels in 10yr Treasury yields recently without 2.79-2.80% coming up early and often. This pivot point acted as a firm floor throughout March, finally giving way at the end of the month as trade war volatility worked its way through markets. Stocks recovered earlier this week and bonds tagged along, moving back up and over 2.80% as of Wednesday. Bonds ended up abstaining from any serious trading yesterday, but managed to hang out close enough to 2.80% to make today interesting. Fortunately, it ended up being interesting in good way for rates/bonds/originators--even if only modestly. Stocks started the overnight session losing ground on trade war rhetoric out of China. The losses were fairly well contained, but they were enough

from
http://www.mortgagenewsdaily.com/reports/newsletter/2018/4/6/3305

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