Bond Market Update
Bond Market Update
Market Update
Friday, May 20, 2022
What's going on and why does it matter?Mortgage bonds opened flat this morning and stocks are set to rebound after a rough and volatile week. The economic calendar is empty today and investor sentiment is largely being driven by bargain hunting in the battered stock market. The Fed is scheduled to purchase up to $1.728 billion of mortgage bonds today.
What should you do about it?
Watch and see if mortgage bonds can hold their ground above their 10-day moving average, but be prepared to lock your rate if mortgage bonds fall below that level.
Economic Calendar
Economic reports that may impact mortgage rates this week:
| Date | Report | Period | Prior | Est. | Actual |
|---|---|---|---|---|---|
| Mon 16 May | NY Fed Mfg. Index | May | 24.60 | 17.00 | -11.60 |
| Tue 17 May | Retail Sales | Apr | 0.5% | 0.9% | 0.9% |
| Tue 17 May | Industrial Production | Apr | 0.9% | 0.4% | 1.1% |
| Tue 17 May | Capacity Utilization | Apr | 78.3% | 78.5% | 79.0% |
| Tue 17 May | Business Inventories | Mar | 1.5% | 1.9% | 2.0% |
| Wed 18 May | Building Permits | Apr | 1.870M | 1.812M | 1.819M |
| Wed 18 May | Housing Starts | Apr | 1.793M | 1.765M | 1.724M |
| Thu 19 May | Initial Jobless Claims | Week ending May 14 | 203k | 200k | 218k |
| Thu 19 May | Philly Fed Business Index | May | 17.6 | 16.0% | 2.6% |
| Thu 19 May | Existing-Home Sales | Apr | 5.77M | 5.62M | 5.61M |