mortgage rates

What Does It Mean That Real Estate, Not Equities, Is Driving Monetary Policy?

By |2019-07-23T18:31:49-04:00July 23rd, 2019|Currencies, Economy, Federal Reserve/Monetary Policy, Markets|

In the world of assets classes, I don’t believe it is equities which hold the Federal Reserve’s attention. After the 2006-11 debacle, the big bust, you can at least understand why policymakers might be more attuned to real estate no matter how the NYSE trades. It may be a decade ago, but that’s the one [...]

Toward Rate Cuts: What If The Landmine Was Real?

By |2019-07-01T17:05:31-04:00July 1st, 2019|Currencies, Economy, Federal Reserve/Monetary Policy, Markets|

It was supposed to be the Chinese government who was going to rescue the global economy. Once the rationalizations ended and officials around the world realized there was serious economic weakness building at the end of 2018 instead of a globally synchronized inflationary recovery, the green shoots of 2019 were going to be in one [...]

Three-For-One In Poor Housing Data

By |2019-05-21T12:16:49-04:00May 21st, 2019|Bonds, Currencies, Economy, Federal Reserve/Monetary Policy, Markets|

We all know the shorthand. The Federal Reserve influences if not controls economic activity by raising and lowering the federal funds apparatus. Reducing the monetary policy targets is stimulus because everyone loves lower interest costs. Raising them therefore has the opposite effect. More direct and visible consequences are supposed to be observed first in the [...]

Tantrums and Tapers, TBA’s and Mortgage Rates

By |2019-01-22T16:10:48-05:00January 22nd, 2019|Bonds, Currencies, Economy, Federal Reserve/Monetary Policy, Markets|

To be an interested observer of things in the summer of 2013 was to be awash in the awareness of so many contradictions packed into one little piece of history. Forward guidance, for one, recognized the effects of markets. If QE was really effective, interest rates would rise not fall in anticipation of those positive [...]

Market Week in Review

By |2008-12-27T16:10:16-05:00December 27th, 2008|Economy|

It's almost over. Just one more week before we close the books on a truly awful year. Based on the market action of the last several weeks, it is easy to conclude that many investors have already called it a year. The Christmas shortened trading week was again a fairly boring affair that has become [...]

Treasury May Force Down Mortgage Rates

By |2008-12-04T14:46:43-05:00December 4th, 2008|Markets|

Via MSNBC: The Treasury Department is strongly considering a plan to intervene directly in the mortgage industry to dramatically force down rates and stimulate the moribund housing market, according to sources familiar with the proposal. Under the initiative, the Treasury would offer to buy securities that finance newly issued loans for home purchases, according to [...]