Mortgage Rates
Johnny Markets
Well I don’t know about you but I’m excited about Johnny Manziel aka “Johnny Football” playing in the NFL. It’s not just that he might finally solidify a revolving door quarterback position for the Cleveland Browns but that he brings excitement and uncertainty to every play. If only there was a “Johnny Markets” that could provide the same spark to our lethargic capital markets world of late evidenced by a sticky 10yr Note yield range(2.6% to 2.82%) since late January 2014. This lethargy is not simply happenstance but rather a carefully crafted recovery elixir of lows (low inflation, low market volatility, low growth, low yield, and low unemployment) aimed at keeping price/yield volatility under wraps until such time as the FOMC is ready to remove the governor from the motor. Clearly, this combination (akin to stickum use in football) isn’t entirely bad as low inflation, low yields, and low unemployment are all usually deemed positive attributes of a healing economy. However, like all artificial panaceas there is always a cost to pay for unnatural sway over any independent ecosystem. The last 6 years of economic life support is no exception. We don’t always think about the value of price elasticity but price movement is not only a critical component for financial stability, liquidity, and confidence but is also typically a hallmark of healthy markets. With Retail Sales, Empire Manufacturing, PPI, and CPI all hitting the screens this week, perhaps we will finally see some “Johnny Markets” like price movement on the market playing field.
Find out what's happening in Fairfieldwith free, real-time updates from Patch.
Last Week in Review…
- Mortgage Apps up 5.3%
- Jolt Job Openings decrease
- Yellen concerned about housing
- Ukraine faces elections
- Initial Jobless claims fall
- ISM services improves
- Stocks up, Oil up, Gold down
Economic News Calendar
Find out what's happening in Fairfieldwith free, real-time updates from Patch.
Monday, May 12th – Monthly Budget
Tuesday, May 13th – Retail Sales
Wednesday, May 14th – MBA Apps & PPI
Thursday, May, 15th – Initial Jobless Claims & CPI
Friday, May 16th – Housing Starts
Weekly Commentary provided by Jorge Rivera NMLS #12303
One Post Road, Fairfield, CT 06824
Office: 203-418-2718 | Mobile: 203-913-1633
Web: www.mortgagemaster.com/jrivera | Email: jrivera@mortgagemaster.com
MA LIC # MLO12303/NY LIC # 12303/CT LIC #6281/RI LIC #12303
For more on Fairfield real estate go to www.eyeonfairfield.com
