Mortgage Monday Newsletter | June 13th, 2022
Welcome to the Mortgage Monday Newsletter! Each week I will give you 1 Industry Insight, 1 Article to Read, and 3 Quotes to Ponder. I hope you enjoy, and if you do, feel free to pass it along to your friends!
Industry Insight
Stocks and bonds are both sharply down so far this morning. The S&P 500 will open in bear market territory (down over 20% from its highs). This is most likely because of the hotter than expected Consumer Price Index inflation report from Friday. As you can see, Friday and this morning has been a huge drop off.
With inflation still getting away from the Fed, it is looking more and more possible that they will hike rates by 75bps and some are calling for a 100bps hike.
The country’s personal savings rate, which soared during the early months of the pandemic is now back to pre-pandemic levels. The savings rate was 7.8% in January 2020, rose to 33.8% in April 2020, and now back to 4.4% in April 2022. The 4.4% rate is the lowest recorded in the US since September 2008 and is another recession indicator.
*As of 9:00am this morning the Bond market is down 98bps overall and over 51bps since the market opened! And that is after a dismal Friday. We have a lot of news coming out this week that will affect the market, so reach out if you have any questions on where we are at.
Have a great week!
Article to Read
Sportwashing Is Everywhere, but It’s Not New by Michael Rosenberg
Quotes to Ponder
“If I had asked people what they wanted, they would have said faster horses.”
– Henry Ford
“When you compete against everyone else, no one wants to help you. But when you compete against yourself, everyone wants to help you.”
– Simon Sinek
“Strong leaders engage their critics and make themselves stronger. Weak leaders silence their critics and make themselves weaker.”
– Adam Grant