Posted by
boxflyz About Econ on Tuesday, June 19, 2007 11:09:39 AM
YESTERDAY, 18 June 2007
The Housing Market Index was reported at 28, down from the last report of 30. It does not appear to have shaped rates at all when looking at the intra-day trading.
The 10-year Treasury closed -.029% at 5.142%.
TODAY, 19 June 2007
Rates are down for the 4th trading day in a row. But, rates are still far higher than they were at on 11 May 2007 when the 10-year Treasury closed at 4.674%. The trend has been for higher rates since that day. The 10-year Treasury is -.021% with the rate at 5.121%.
The hosing data is a past of the driver of rates this morning. Housing Starts were expected to be 1470k to 1490. Only one source was looking for the 1470 number. Most were looking for at least 1475k. 1474k homes were started in May, which provided a small surprise.
The bigger surprise was in the Housing Start revision for April. Originally, April’s new home starts were reported at 1528k. That was revised down to 1506k.
Building Permits may have provided a small amount of moderation in the day’s trading. It was predicted to be 1460k to 1480k. 1501k new permits were taken out.
TOMORROW 20 June 2007
There is very little data tomorrow. The MBA Purchase Application Index is out but often is ignored by the bond market.
Steve Boxmeyer [612] 799 – 6858
steve@LendWithIntegrity.com