Posts Tagged ‘basis’

The MBA's loan application survey covers over 50% of all U.S. residential mortgage loan applications taken by mortgage bankers, commercial banks, and thrifts. The data gives economists a snapshot view of consumer demand for mortgage loans. In a falling mortgage rate environment, a trend of increasing refinance applications implies consumers are seeking out lower monthly payments. If consumers are able to reduce their monthly mortgage payment and increase disposable income through refinancing, it can be a positive for the economy as a whole (may boost consumer spending. Also allows debtors to pay down personal liabilities faster). A trend of declining purchase applications implies home buyer demand is shrinking.

The Market Composite Index, a measure of mortgage loan application volume, increased 15.5 percent on a seasonally adjusted basis from one week earlier.  On an unadjusted basis, the Index increased 16.1 percent compared with the previous week.  

The Refinance Index increased 17.2 percent from the previous week and was the highest Refinance Index observed since the week ending January 14, 2011.  The four week moving average is up 3.6 percent. The refinance share of mortgage activity increased to 65.5 percent of total applications from 64.9 percent the previous week.

The seasonally adjusted Purchase Index increased 12.5 percent from one week earlier and was the highest Purchase Index recorded this year. The unadjusted Purchase Index increased 14.3 percent compared with the previous week and was 14.3 percent lower than the same week one year ago. The four week moving average is up 1.2 percent for the seasonally adjusted Purchase Index.

IMPORTANT NOTE: The previous week's data did not include a holiday adjustment for Presidents' Day,  the week over week percentage rebound we are seeing today was likely overstated as a result.

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The MBA's loan application survey covers over 50% of all U.S. residential mortgage loan applications taken by mortgage bankers, commercial banks, and thrifts. The data gives economists a snapshot view of consumer demand for mortgage loans. In a falling mortgage rate environment, a trend of increasing refinance applications implies consumers are seeking out lower monthly payments. If consumers are able to reduce their monthly mortgage payment and increase disposable income through refinancing, it can be a positive for the economy as a whole (may boost consumer spending. Also allows debtors to pay down personal liabilities faster). A trend of declining purchase applications implies home buyer demand is shrinking.

The Market Composite Index, a measure of mortgage loan application volume, increased 15.5 percent on a seasonally adjusted basis from one week earlier.  On an unadjusted basis, the Index increased 16.1 percent compared with the previous week.  

The Refinance Index increased 17.2 percent from the previous week and was the highest Refinance Index observed since the week ending January 14, 2011.  The four week moving average is up 3.6 percent. The refinance share of mortgage activity increased to 65.5 percent of total applications from 64.9 percent the previous week.

The seasonally adjusted Purchase Index increased 12.5 percent from one week earlier and was the highest Purchase Index recorded this year. The unadjusted Purchase Index increased 14.3 percent compared with the previous week and was 14.3 percent lower than the same week one year ago. The four week moving average is up 1.2 percent for the seasonally adjusted Purchase Index.

IMPORTANT NOTE: The previous week's data did not include a holiday adjustment for Presidents' Day,  the week over week percentage rebound we are seeing today was likely overstated as a result.

...(read more)

The Mortgage Bankers Association (MBA) today released its Weekly Mortgage Applications Survey for the week ending February 11th, 2011.

"Ongoing turmoil in the Middle East brought interest rates lower last week.  Borrowers took advantage of these lower rates, bringing application activity back near levels from two weeks ago, following sharp declines last week," said Michael Fratantoni, MBA's Vice President of Research and Economics.

The Market Composite Index, a measure of mortgage loan application volume, increased 13.2 percent on a seasonally adjusted basis from one week earlier.  On an unadjusted basis, the Index increased 14.8 percent compared with the previous week.

The Refinance Index increased 17.8 percent from the previous week.   The four week moving average is up 1.8 percent. The refinance share of mortgage activity increased to 65.7 percent of total applications from 64.0 percent the previous week.

The seasonally adjusted Purchase Index increased 5.1 percent from one week earlier. The unadjusted Purchase Index increased 9.6 percent compared with the previous week and was 6.9 percent lower than the same week one year ago.  The four week moving average is up 1.6 percent for the seasonally adjusted Purchase Index.

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The Mortgage Bankers Association (MBA) today released its Weekly Mortgage Applications Survey for the week ending February 4th, 2011.

The Refinance Index decreased 7.7 percent from the previous week.  The four week moving average is down 1.5 percent. The refinance share of mortgage activity decreased to 66.6 percent of total applications from 69.3 percent the previous week. This is the lowest refinance share observed in the survey since the week ending May 14, 2010.

The average contract interest rate for 30-year fixed-rate mortgages increased to 5.13 percent from 4.81 percent, with points decreasing to 0.84 from 1.02 (including the origination fee) for 80 percent loan-to-value (LTV) ratio loans.  This is the highest contract 30-year rate recorded in the survey since the week ending April 9, 2010. The 32 basis point jump is the largest rate increase since June 2009.  The effective rate also increased from last week.

"Mortgage rates increased last week as many incoming economic indicators continue to show stronger growth than had been anticipated. Refinance volume continues to be low, as fewer homeowners with equity have any incentive to refinance," said Michael Fratantoni, MBA's Vice President of Research and Economics. "We are at the beginning of the spring buying season, but purchase volume remains weak on a seasonally adjusted basis."

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United States — Sunday, August 15, 2010

National mortgage rates on 30-year fixed mortgages remained stable at 4.29% on August 15, 2010, according to Zillow Mortgage Marketplace. As a comparison, state rates ranged from a low of 4.20% (HI) to a high of 4.46% (NV).

Compared to the week prior to August 15, 2010, the national 30-year mortgage rate remained stable at 4.29%. Compared to three months ago, the 30-year rate is down 48 basis points from its average rate of 4.77%.

Equity futures are once again indicated higher this morning. The question is whether stocks will maintain momentum throughout the day, or fizzle out just as they did yesterday. Ninety minutes before the opening bell, Dow futures are up 54 points to 10,202 and S&P 500 futures are up 4.25 points to 1,090.50. The 2-year Treasury note yield is 1 basis point higher at 0.738% and the benchmark 10-year Treasury note yield is less than 1 basis point higher at 3.264%. The NYMEX crude oil futures contract is up 0.44 to 75.56 while Gold futures are up $1.20 at $1,225.70. Yesterday, equity prices rose as much as 1.55% before tumbling back in the final hours. The S&P closed down 0.18% and the Dow fell 0.20%. Key Events Today: 6:15 ― James Bullard , president of the St. Louis Federal Reserve, speaks...(read more)

Global equities are rallying and the U.S. is no exception. Ninety minutes before the opening bell, Dow futures are up 80 points to 10,77 and S&P 500 Futures are 9.50 points higher at 1,098.75. Last week, the Dow climbed 2.81% and the S&P rose 2.51%. The 2-year Treasury note yield is 3.6 basis points higher at 0.77% and the 10-year Treasury note yield is up 7.5 basis at 3.31%. Also, WTI crude oil is up $1.62 to $ 75.40 per barrel and Spot Gold is up $0.65 to $1,227.35. The Week Ahead Monday: Morning ― James Bullard , president of the St. Louis Federal Reserve, speaks in Tokyo at the Institute of Regulation and Risk of North Asia. Treasury Auctions: 11:30 ― 3-Month Bills 11:30 ― 6-Month Bills Tuesday: 6:15 ― James Bullard , president of the St. Louis Federal Reserve, speaks on asset bubbles...(read more)

Ahead of what should be a busy day in the markets, equity futures are looking to build upon the broad-based surge on Thursday. Ninety minutes before the opening bell, Dow futures up 15 points to 10,161 and S&P 500 futures are up 1.25 points to 1,085.00. Yesterday, the Dow jumped 2.76% and the S&P jumped leapt 2.95%. The 2-year Treasury note yield is 1.6 basis points lower at 0.778% and the benchmark 10-year Treasury note is 2.6 basis points lower at 3.299%. The NYMEX crude contract is off $0.31 to $75.17, and COMEX Gold is up $2.20 at $1,223.0. The US dollar index is down nine basis points to 87.07, after the surge in US equities yesterday prompted global gains extending to foreign stocks and currencies. The Day Ahead: 8:20 ― Charles Plosser , president of the Philadelphia Fed, discusses...(read more)

Stocks are likely to open sharply higher this morning as a strong global session, China excluded, leads the way into positive territory. Ninety minutes before the opening bell, S&P 500 futures are up 10 points to 1,065.50 and the Dow futures contract is +73 at 9976. The 2-year Treasury note yield is 2 basis points higher at 0.746% and the benchmark 10-year note yield is 3.3 basis points higher at 3.211%. NYMEX crude oil futures are +41 cents at $74.49 per contract while Gold is down $3.90 to $1,226.00. Stocks in China fell 0.82% today despite strong data indicating that its trade surplus expanded to $19.5 billion in May. Exports surged 48.5% versus May 2009 and imports rose 48.3%. Also, exports to the EU were up 49.7%. But stocks elsewhere rallied: Taiwan share jumped 1.56%, Japan’s...(read more)

Global markets were mixed overnight but domestic stock futures are higher as investors wait for the latest economic assessment from Federal Reserve chairman Ben Bernanke. Ninety minutes before the opening bell, Dow futures are up 51 points to 9,965 and S&P 500 futures are 7.50 points higher at 1,066.75. The 2-year Treasury note is 2 basis points higher in yield at 0.766% while the benchmark 10-year note yield up 3.1 basis points to 3.222%. WTI crude oil is up $0.82 to $71.81 per barrel, but Spot Gold is down $0.48 to $1,236.07. China’s Shanghai index closed up 2.78%, but Japan’s Nikkei fell 1.04%. In Europe, stocks are mostly higher with London’s FTSE 100 up 0.28%, the CAC up 0.86%, and the DAX +0.90% Last night, Kansas City Fed President Thomas Hoenig said the central...(read more)