Stable; Greece settled, and banks buying Treasuries.
Posted by Don on May 3, 2010
Rates are relatively stable today. Yesterday, the EU and Greece communities came to agreement on a $146 billion assist program. Normally, this would cause money to flow back from “safe haven” spots, such as US; but there is still concern that the European financial crisis might spread. Prevailing thought is that this will take some weeks “to unwind.” Nonetheless, for the...
Read MoreRates down on continued Greece concern.
Posted by Don on Apr 30, 2010
A funny market. Even though both the EU and Greece seem confident to finish up an agreement within the next couple of days, there is still concern in the market that this might yet break down — and thus, a flight to security, e.g., US bonds. “Investors are very quick to pull the trigger and buy Treasuries in this risk averse atmosphere,” said Sergey Bondarchuk, an interest-rate strategist...
Read MoreStable.
Posted by Don on Apr 29, 2010
A quick post, as I’m running to an all-day appointment, and want to get this out beforehand. Little has changed overnight, as Germany (and the EU) and Greece are expected to make an agreement within a couple of days. Historically, “safe haven” flights of money don’t last long, from a market perspective, so any gain on such news should be viewed as short term. The Fed...
Read MoreRates higher on Greece resolution; and large US bond sale.
Posted by Don on Apr 28, 2010
Rates are higher today on both positive EU community news, and the added weight of $42 billion of US bond sales today. As the Greece crisis stretches out, the impact on other EU nations is beginning to be felt, and Germany’s Angela Merkel and others are understanding the need for a quick Greece resolution. They’ve pledged to have this done in three days — and the market is...
Read MoreRates down on “flight to quality” from Euro zone.
Posted by Don on Apr 27, 2010
Rates are sharply down today, most entirely on news out of the Euro zone. The reality that the EU has not solidified the financial support terms with Greece, is unsettling the market, and now spreading to other countries, notably (right now) Portugal. The event is bringing scrutiny on several of the other countries to evaluate whether or not they might follow Greece. Spain, Italy, and Portugal,...
Read MoreSame divergent news — further apart. Stable.
Posted by Don on Apr 26, 2010
The news is taking an interesting development: As we’d mentioned over the past couple of days, there are divergent market-movers going on: Greece’s debt challenging (and the EU response), and improving economic news — both of which will move the market in a different direction. Well, as it turns out, the news is the same today; but more extreme in both cases. Greece, on Friday,...
Read MoreDrifting sideways on mixed news.
Posted by Don on Apr 23, 2010
As we’ve previously said, the market is expected to trend between 3.7%-4.0% for the foreseeable future. Today, the movements are mixed, and what seems to be predominating at the moment (as it likely should) is the news that is working to increase rates: positive economic news. New-home purchases advanced 5.5 percent to a 325,000 annual rate from the prior month. The manufacturing sector is...
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