The Day after!

After the surprise Trump win, the bond market rapidly dropped as folks who were betting the #FED would raise rates realized that was likely off the table–driving mortgage rates up .25%. The #FED, who loves reasons to delay rate hikes, will hold the anticipated December rates increases based upon statements to the media (but not a guaranty they don’t raise then).This is setting the bond market on its heels as it had already factored the price impacts of the #FED interest rate increase into its matrices. As the bond market stabilizes this morning, I think we will return to lower rate levels over time.

Meanwhile, Jobless claims are down 11,000 landing at 254,000 claiming unemployment benefits, which was a better than expected outcome. So, let’s hope this is a sign of a strong hiring season during the rest of the 4th Qtr. and into 2017!

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