March 5th, 2014
March 5, 2014; 7:59am
Interest rate trends: Today – Flat; 10 days – Flat; 25 days – Flat
Interest rate recommendation: Cautious float
Mortgage bonds (MBS’s) took a hit yesterday due to tensions easing in the Ukraine and the stock market rally. So far today MBS’s are flat. The ADP employment report shows 139k jobs were created in February, vs. 150k expected. We are likely to have another bad Government Jobs Report on Friday and get back much of what we lost in interest rates yesterday, on Friday. Although analysts are recommending locking into Friday’s Jobs Report, we will go with floating into it. Should expectations be lowered today or tomorrow, that might change our opinion, but for now we feel the Jobs report will be a stinker and the ADP report today gives us more confidence in our opinion. Hold on and have a great day!