Managing Equity and Markets

Last week I mentioned how we were near a breakout point on the 10 yr. The breakout occurred, but unfortunately, it was to the upside as fears of a June rate hike were ignited along with the battle of the debt ceiling continuing to drag on (odds are the ceiling gets raised and the US does not def...

Firstly, I’d like to give a shout-out to all of the mom’s out there today. I hope you were able to spend some time with your loved ones and get spoiled for the day. Lord knows you deserve it. Happy Mother's Day!Secondly, let’s talk about what we have for the upcoming week. We will be hearing fro...

The FHFA announced today that the DTI (Debt To Income) based LLPA (Loan Level Price Adjustment), which had been temporarily postponed for 3 months, has been rescinded indefinitely.  This is great news and avoids a deluge of complications.  The FHFA’s Director, Sandra Thomas, cited overwhelming fe...

We are coming off an important week and heading into another one. Last week, the Fed raised rates by 25bps, as expected. More importantly, the markets digested Fed Chairman Powell’s words as this may be the last rate hike before they think about pausing. Powell also tried to calm markets by sugge...

The Fed’s monetary policy is revealed on Wednesday. The market is expecting a 25bp hike but the markets will be moving more so on Powell’s speech after the decision is announced. Here is how institutions are placing their bets    I agree with the market consensus. The Fed has to remain strong in ...

Markets will be moving based on quarterly earnings this week as they really wait for Thursday’s GDP report and Friday’s PCE report. Next week we get the Fed’s monetary policy decision on Wednesday and unemployment numbers on Friday.This week’s PCE report is important as it is the Fed’s main infla...

Inflation numbers came in and they showed signs of cooling. CPI rose 5% year over year and 0.1% month over month, lower than expectations. Although this is good news and shows we are moving in the right direction, we need about 3 consecutive months of month-over-month declines to really start cel...

Unemployment came in a tick lower on Friday at 3.5%, reigniting fears of a rate hike justified by a strong labor market. New jobs added, however, were lower than expected.This is a very big week for us as we get CPI and PPI inflation data. Last month’s year-over-year reading came in at 6%. The ma...

This is an update to the blog I wrote last week introducing a new shared equity program in CA.   Well, it took a whole 7 days for CalHFA to use $300,000,000 of The Dream Home For Some (all) Program. I think that people that were already planning to use traditional DPA programs just switched to t...

The markets were volatile again this past week ending the week on a good note with PCE inflation coming in slightly lower than expected.Bank failures, inflation cooling, unemployment ticking up…things are looking set for a Fed breather on rate hikes. The Fed should have one more rate hike in the...