Vital Statistics:
| Last | Change | |
| S&P futures | 3631 | 2.6 |
| Oil (WTI) | 45.53 | 0.31 |
| 10 year government bond yield | 0.88% | |
| 30 year fixed rate mortgage | 2.80% |
Stocks are flattish this morning after a slew of economic data. Bonds and MBS are flat.
Third quarter GDP rose 33.1% and personal consumption expenditures rose 40.6%. This was the second revision and the numbers came in more or less in line with street expectations.
Initial Jobless Claims rose to 778k last week, which was a touch worse than expectations. Meanwhile durable goods orders rose 1.3%, which was better than expected.
Mortgage Applications rose by 4% as purchases rose 4% and refis increased 5%. “Thirty-year fixed mortgage rates dropped seven basis points to 2.92 percent, another record low in MBA’s survey,” said Joel Kan, MBA Associate Vice President of Industry and Economic Forecasting. “Weekly mortgage rate volatility has emerged again, as markets respond to fiscal policy uncertainty and a resurgence in COVID-19 cases around the country. The decline in rates ignited borrower interest, with applications for both home purchases and refinancing increasing on a weekly and annual basis.”
The FHFA increased the one-unit conforming loan limit to $548,250, an increase of 7.42%. All other limits were adjusted upward accordingly.
The Daily Tearsheet 
“The fatal intellectual flaw of the left is an inability to grasp the concepts of risk and reward.” Awwww…sad little half-wit can’t make an argument without an absolute statement. The “left” as you so inelegantly put it, is populated with people who know very well the concepts of risk and reward. As a member of the “left” and a CFA charter holder responsible for about $10 billion of fixed income assets in a corporate pension fund, I deal with it every minute of every day. The bigger question is why you feel the need to post such bullshit on social media. Either you know it’s not true and you get off and having morons hit the “like” button or you believe it’s true, in which case you have no idea what you’re talking about. Now run along, little man. The “left” kicks your sorry ass every day.
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If you are long fixed income, you have no concept of risk and reward, skippy.
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