Main Contact: Drew C. LaBarbera, RMLO
NMLS: 260569
2104 Green Hill Drive
McKinney, TX 75070
Phone: 903-814-2344 Fax: 214-237-4070
Español: 214-683-5023 Email: drew@planwealth.net

Main Contact: Drew C. LaBarbera, RMLO
NMLS: 260569
2104 Green Hill Drive
McKinney, TX 75070
Phone: 903-814-2344 Fax: 214-237-4070
Español: 214-683-5023 Email: drew@planwealth.net


Wednesday, May 22, 2024
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Market Commentary

Updated on May 21, 2024 10:05:29 AM EDT

Today doesn’t have anything scheduled that we need to be concerned about with exception to a bunch of Fed-member speeches throughout the day. There are a couple in progress at this time, but none have generated any major headlines. This morning’s gains could just be an extension of yesterday’s late strength.

This week’s economic calendar starts with Aprils Existing Home Sales data at 10:00 AM ET tomorrow. The National Association of Realtors is expected to announce a modest rise in home resales last month. A decline in sales would be good news for bonds and mortgage rates because a softening housing sector makes broader economic growth more difficult and bonds tend to thrive in weaker economic conditions. This is a moderately influential piece of data that usually doesn’t have a noticeable impact on mortgage rates.

Tomorrow also has two afternoon events that we will be watching. First will be results of the 20-year Treasury Bond auction at 1:00 PM ET. This sale will not directly impact mortgage pricing, although it can influence general bond market sentiment. If the auction goes poorly, we could see broader selling in the bond market that leads to a slight upward revision to mortgage rates. On the other hand, a strong demand from investors may translate into slightly lower mortgage rates during early afternoon hours.

We will also get the minutes from the April 31 – May 1 FOMC meeting at 2:00 PM ET tomorrow. Market participants will be looking for how Fed members feel about inflation, employment, economic growth and their thoughts about future monetary policy moves. We likely are not going to see too much in the minutes that we dont already know, but the possibility does exist. If there is a reaction to the minutes, it will come during midafternoon trading.

 ©Mortgage Commentary 2024

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Drew LaBarbera, RMLO DBA Planwealth Financial Services
NMLS: 260569 | Company NMLS: 353562

Drew LaBarbera, RMLO DBA Planwealth Financial Services
NMLS: 260569 | Company NMLS: 353562