Industry News
Mortgage Industry News
Equities at Highest Valuations in Five Years
09/29/2009
It is another light day on the economic calendar with home price and consumer confidence data due out later in the morning. With equities at their highest valuations in five years, some traders are taking profits which has stock futures pointing mildly down. ADP is scheduled to be released tomorrow (consensus is -200K); Nonfarm Payrolls will be released on Friday (consensus is -178K). Right now, the futures market is pricing in an 83% chance that the Fed keeps rates somewhere between 0% and .25% through January 27th, 2010. Currently, the Ten Year yield is at 3.30% (3.33% yesterday) and the 2-10 yield spread is at 230bps, flattening 3bps since yesterday morning.
