Bond Market Update

Bond Market Update

Market Update

Friday, December 6, 2019

What's going on and why does it matter?
Mortgage bonds opened flat today, and it will be interesting to see if they can remain in positive territory above their 30-day and 100-day moving averages. The jobs report came out today much stronger than market expectations and job growth increased by the most in 10 months. This is attributed to former striking workers at General Motors returning to work, as well as increased hiring in the healthcare industry. Be prepared for some market volatility today as investors digest this news.

What should you do about it?
Lock your rate to be safe.

Economic Calendar

Economic reports that may impact mortgage rates this week:

Date Report Period Prior Est. Actual
Mon 2 Dec Construction Spending Oct 0.5% 0.4% -0.8%
Mon 2 Dec ISM Mfg PMI Nov 48.3 49.2 48.1
Wed 4 Dec ADP National Employment Nov 125k 140k 67k
Wed 4 Dec ISM Non-Mfg PMI Nov 54.7 54.5 53.9
Thu 5 Dec Initial Jobless Claims Week of Nov 25 213k 215k 203k 
Thu 5 Dec Factory Orders Oct -0.6% 0.3% 0.3%
Fri 6 Dec Non-Farm Payrolls Nov 128k 180k 266k
Fri 6 Dec Unemployment Rate Nov 3.6% 3.6% 3.5%
Fri 6 Dec Average Earnings Nov 0.2% 0.3% 0.2%
Fri 6 Dec U of Mich Consumer Sent. Dec 96.8 97.0 99.2