10 year bond spike impact?

30ashopper · 05-28-2009, 06:17 PM

With the recent spike in the 10-year bond price, I was curious if folks in the mortgage business have seen any changes in lock in rates / applications over the last few weeks? The ten year has spiking considerably recently thanks to a heavy sell off. I read in an aritcle that Jumbos were pushing 8%. Any truth to that?

http://online.wsj.com/article/SB124346921018160569.html

goofer44 · 05-28-2009, 09:05 PM

I am bailing in the stock market. Rates climbing is not good. High bond rates give too much competition to stocks, and the bond supply is just beginning. Plus the turmoil in Pakistan is very scary. North Korea, Iran and Pakistan......ugh !!!

JoshMclean · 05-29-2009, 06:37 PM

Market is having a monster rally that has to end soon. Oil up, bonds up, housing numbers bad, job numbers bad, too many volatile situations in the Middle East, etc...

ray · 05-29-2009, 06:54 PM

The second biggest rally since the stock mkt was founded in the 1800's. Yet the news is horrid and gets worse by the day. Constreet has sucked greedy desperate people back in the game yet again to rip them

JoshMclean · 05-30-2009, 09:26 AM

Here's a good article explaining the market manipulation involved.
Manipulation: How Markets Really Work
If you don't believe that, look at the trading on Friday. Flat all day long and jumps 100 points 10 minutes before the close. Why would people do that kind of volume 10 minutes before a weekend? Makes no sense.

SHELLY · 05-30-2009, 09:32 AM

Quote:

Originally Posted by JoshMclean

Here's a good article explaining the market manipulation involved.
Manipulation: How Markets Really Work
If you don't believe that, look at the trading on Friday. Flat all day long and jumps 100 points 10 minutes before the close. Why would people do that kind of volume 10 minutes before a weekend? Makes no sense.

Excerpt from article:
"artificially inflating the price...through promotion, in order to sell at the inflated price,"

gee, where have I heard of that process before??

.

JoshMclean · 05-30-2009, 09:56 AM

I thought you might come out of the woodwork for this thread.

Lynnie · 05-30-2009, 10:24 AM

I checked jumbo rates last night and were in the 6's. Of course, it depends on loan amount, but I checked up to $2MM. Most programs will only go to 65% at this loan amount, however.

Seems like market makers would get it on this manipulation as well??

SHELLY · 05-30-2009, 02:32 PM

Quote:

Originally Posted by JoshMclean

I thought you might come out of the woodwork for this thread.

JoshMclean · 05-30-2009, 05:51 PM

I hope you aren't making fun of my heritage!!!

JoshMclean · 05-30-2009, 05:55 PM

What does everyone think about this rally? Extended bear market rally or manipulation that could take this thing much higher? All data says that this should not be happening, but it continues to rise. Is the 200 dma the key here?

We need an investing forum.

JoshMclean · 05-30-2009, 06:50 PM

Interesting article here

What Was THAT? (Friday Market Close) - The Market Ticker

goofer44 · 05-30-2009, 09:58 PM

Quote:

Originally Posted by JoshMclean

What does everyone think about this rally? Extended bear market rally or manipulation that could take this thing much higher? All data says that this should not be happening, but it continues to rise. Is the 200 dma the key here?

We need an investing forum.

My target has been SPX 935. It is close enough at 920 for me to have started liquidating and selling in the money calls on stocks and shorting spy's. The stock mkt has been discounting a recovery in the real economy. I believe that the statistics coming out have shown only a tepid recovery taking place or at least that the economy has stopped imploding. With high and growing unemployment, a weak dollar and consequently higher commodity prices, a economy killing deficit and higher interest rates, the international tensions, and general malaise world-wide, it seems the stock mkt is quickly running out of gas. At best I can only see a range bound mkt and at worst a revisit to sub 800 SPX. It is time to be cautious and take advantage of the huge rally that has been a gift to many of us. We will have another chance to buy stocks at lower levels. The great driver of consumer spending was the ability to use housing as an ATM machine. Those days are over. The "green shoots " that have sprouted may be short lived.

scooterbug44 · 05-30-2009, 11:49 PM

Quote:

Originally Posted by JoshMclean

Interesting article here

What Was THAT? (Friday Market Close) - The Market Ticker

That is interesting! I didn't understand most of it, but I got the gist that something bad/sketchy definitely happened!

I hope it was someone taking a legitimate hit, not someone deliberately screwing with the system, but ........

Mango · 05-31-2009, 12:26 AM

Quote:

Originally Posted by JoshMclean

I hope you aren't making fun of my heritage!!!

Shelly is in Scotland fetching Sean Connery for us.

scooterbug44 · 05-31-2009, 12:30 AM

Sean Connery Jr. please - he finally hit "old" in Entrapment.

Lynnie · 05-31-2009, 09:07 AM

Quote:

Originally Posted by JoshMclean

Interesting article here

What Was THAT? (Friday Market Close) - The Market Ticker

Very interesting article. So, watch Asia when they open this evening and make preparations early tomorrow.

JoshMclean · 05-31-2009, 07:56 PM

Tomorrow is a big day with GM bk first thing in the morning along with 3 month and month bond auctions at noon.

Lynnie · 05-31-2009, 08:33 PM

Oooh, thanks for reminding me. Have you checked the other markets, yet?

JoshMclean · 05-31-2009, 08:51 PM

China is flying right now and futures are up 31 as of now. Apparently some news here is supposed to come out at 10 tonight. Could we be bailing out GM with more money?

Lynnie · 05-31-2009, 08:56 PM

GM needs to file BK. I checked Asia also - it is odd. China won't continue to buy our debt if we continue on this wreckless path and throw printing money into this mix. Let me know what news you hear....10EST or CST?

Also, any idea who did that selling at 3:57PM on Friday?

JoshMclean · 05-31-2009, 09:02 PM

I believe Geithner is over there right now to convince them to continue buying.

JoshMclean · 05-31-2009, 09:06 PM

NEW YORK (MarketWatch) -- Senior officials in the Obama administration said
Sunday the U.S. government will provide $30 billion in financing to General
Motors Corp. to allow it to continue to operate through a historic Chapter 11
bankruptcy proceeding that will last an estimated 60 to 90 days. Officials
confirmed that a majority of GM debt holders approved a deal to allow the ailing
car maker to restructure its obligations. Describing the process as "painful but
necessary," officials said GM will move ahead with plans to close 11 facilities
and idle three more. The specific number of layoffs will be released by GM and
the United Auto Workers, officials said. They said the U.S. government will own
60% of the new General Motors.

Lynnie · 05-31-2009, 09:10 PM

Dang! So, we own 60% (was estimated to be 70%), UAW owns 20%. Bond holders have the remaining?

This is literally the beginning of the end of free markets. Why doesn't the US Government just call this spade what it is? Socialism!

JoshMclean · 05-31-2009, 09:14 PM

This is an absolute joke. I love how the UAW has been given preference over the bond holders who should have the legal right to it. All bond holders have to be very scared at this point.

Lynnie · 05-31-2009, 09:20 PM

Quote:

Originally Posted by JoshMclean

This is an absolute joke. I love how the UAW has been given preference over the bond holders who should have the legal right to it. All bond holders have to be very scared at this point.

I know. Something tells me Friday's late trading had something to do with this. I'm writing a letter to the everyone, I am so aggravated.

Government Motors - nice ring, huh?

Lynnie · 05-31-2009, 09:43 PM

Economic optimism may trump GM bankruptcy | Markets | Hot Stocks | Reuters

Lynnie · 06-01-2009, 03:16 PM

????? Does the whole world want us to be socialized?

GaDawg · 06-01-2009, 05:46 PM

Quote:

Originally Posted by JoshMclean

I believe Geithner is over there right now to convince them to continue buying.

I heard on the news today that Geithner was speaking today at a college in China about the Obama economic plan and the students started laughing out loud about his comments.

Lynnie · 06-01-2009, 05:49 PM

Well, I don't know if I should laugh or cry when Communists are laughing at our socialism.

SHELLY · 06-02-2009, 09:31 AM

Quote:

Originally Posted by Mango

Shelly is in Scotland fetching Sean Connery for us.

I'm baaaa-aack (in the USA--not in FL yet).

Sorry ladies....Couldn't bring back Sean Connery--US Customs has a ban on import of British Beef.

Actually returned with a bit of a suntan from Scotland

Gotta get caught up on what's happening here in the Colonies.

See ya around campus soon!

gardening1970 · 06-02-2009, 12:36 PM

Welcome back Shelly - you were greatly missed!

Lynnie · 06-04-2009, 06:39 PM

Hey, I just looked at rates again as they've been deteriorating (increasing) all week. Jumbos are still in the 6's, but this product isn't avail in FL - go figure, it's SunTrust Wholesale! I didn't catch that last week when I checked. I will check in the AM and see what FL jumbos are looking like.

I am curious as to other lenders in FL. I know Wells is strong, but lots of changes with them. And, the local banks have added restrictions.

I am hearing purchases in Walton Co. are mainly cash transactions over $450K.