Market Snapshot May 10, 2019
Good Morning on this Fantastic Friday,
The dreaded Tariffs went into effect at midnight. Still hoping for a deal at some point, but markets are coming to grips with expectations for slower growth. While the Tariffs are (may be) an important component on the ideological front to hold countries accountable, on the economic front everyone loses. The positive spin though is that bonds and rates tend to improve during those times. We may not be there quite yet but with the Dow off 300 points, the 10-yr is back at 2.43% today and mortgage bonds will get some love soon.
CPI did come out today and was on the weak side. At the core level which excludes food and energy, it came in very low at .01%. The headline number came in at .03, a little high but still lower than expectations. There is not much else going on today. Not expecting much volatility from here on out.
Uber did go public today with its IPO and is actually trading below the offer price..
Wishing you a Happy Mother’s Day weekend and make today great!