Vital Statistics:
| Last | Change | |
| S&P futures | 3277 | -16.6 |
| Oil (WTI) | 40.53 | -0.32 |
| 10 year government bond yield | 0.53% | |
| 30 year fixed rate mortgage | 2.98% |
Stocks are lower this morning on no real news. Bonds and MBS are up.
Tropical Storm Isaisis is heading up the East Coast today. Don’t be surprised if people (including the office) lose power.
Trump is mulling executive action to see if he can extend the stimulus payments, eviction moratorium, or institute a payroll tax cut. Since Congress controls taxing and spending he cannot. This is campaign fodder and nothing else. He also is supposedly demanding some sort of cut for the government if / when Microsoft buys Tick Tock.
Construction spending fell 0.7% MOM and was more or less flat on a YOY basis. Residential construction 1.4% MOM and 0.4% YOY.
Home Prices rose 4.9% YOY, according to CoreLogic. “Mortgage rates hit record lows this spring, which enhanced affordability for home buyers,” said Dr. Frank Nothaft, chief economist at CoreLogic. “First-time buyers, and millennials in particular, have jumped at the opportunity to achieve homeownership.” FWIW, CoreLogic sees home price appreciation flattening out, and I just don’t see that as a possibility given the supply / demand imbalance and the effect of lower interest rates.
The Daily Tearsheet 