Greetings from New Jersey! To top off an already jammed pack week our Operations Manager, Matt Pfrommer and I will brave Nor’easter and head back across Pennsylvania to Pittsburgh later this afternoon. Road trips are already fun (again, lots of sarcasm here), but add in snow/rain cover roads along with 50 mph winds… it should be a real treat!
Speaking of treats… seeing the 10 Year Treasury drop 6bps yesterday was a tasty one! Lenders across the board repriced for the better (some totaling .25% in total adjustments) to take advantage of the rate movements, but what the heck happened? We were on a crash course to see the 10-Year reach 3% this week and then like a knight in shining orange armor, President Trump, decided to start a “trade war” by announcing a plan that will implement tariffs of 25% on steel imports and 10% on aluminum imports… woah. The move sent investors into a tizzy and they scrambled to find comfort in government paper, which helped drive the bond prices down and in turn giving us mortgage nerds something to be excited about. With all that said, as I write this blog… the 10 Year Treasury (which doesn’t determine our rates… but is closely related) has climbed back up to 2.83%. Hopefully, we’ll see the bond market level off during the day, keeping rates a bit lower (at this moment every “bit” counts) to help kick off the new month.
Please keep me in your thoughts today as I travel back across the state. Don’t me get wrong, Matt Pfrommer is an excellent driver, but would you want to put your life in the hands of a man who curses down elderly drivers that slow down at yellow lights or ANYONE that doesn’t zoom around hairpin turns laying on the horn screaming at the pedestrians in the crosswalk… I do believe they have the right away in that situation, right? Either way, I’ll keep you posted and again your thoughts are appreciated.
Talk to you soon!
MJ
The opinions expressed in this post are the sole view of the writer and do not reflect the opinion of Princeton Mortgage Corporation.