Mortgage Market Update 5-25-20

Weekly Market News Update 05/25/2020 – 05/29/2020

U.S. Treasury yields struggled for direction on Thursday in listless trading despite a rush of economic data, increased geopolitical tensions, and speeches from senior Federal Reserve officials.

The bond markets only opened till 2PM on Friday and U.S. financial markets are closed on Monday in observance of Memorial Day.

U.S. financial markets start the day on the quiet side as traders look to escape early to kick off the long holiday weekend.

Mortgage Bonds are flat while Treasury prices inch higher. The 10-yr year yield has slipped to .64% as it continues to trade between a high of .71% and a low of .60%.

Stocks are near unchanged as recent positive sentiment is offset by growing U.S.-China tensions and China instituting National Law on Hong Kong. It will be interesting to see how Stocks finish the week with the optimism of the three-day weekend ahead of us. There are no economic reports due for release today.

The Fed will be purchasing up to $4.275B in mortgage-backed securities on Friday, and $22.5B total this week, down from the $50B per day when the program began mid-March.