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  • Weekly Marketing Update: Monday, November 16, 2020

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    Creating Great Experiences

     

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    • What’s going on and why does it matter?
      Mortgage bonds opened lower this morning as a new week gets underway. Global stock markets are rallying after Moderna reported its Covid-19 vaccine was 94.5% effective in its trial. This follows last week’s news from Pfizer/BioNTech that its vaccine was also over 90% effective in late stage trials. It will be interesting to see how the market reacts to this as stocks are already trading near record highs. On today’s economic calendar, the NY Fed (Empire State) manufacturing index came out weaker than expected. The Fed is scheduled to purchase a very sizable $6.883 billion of mortgage bonds today.

      What should you do about it?
      Watch and see if mortgage bonds can remain above their moving averages, but be prepared to lock your rate if mortgage bonds break below those levels…

      MBS Chart