Good Tuesday A.M.,
Lots of stuff swirling around today.
On the data side…
- November Consumer Confidence in at 129.5 on expectations of 124.0
- Richmond Fed Manufacturing Index in at 30.0 on expectations of 14.0
Both pretty big beats. Stocks loving the news has the Dow up 143 points. Bonds are more focused on the Senate tax talk and last night a few GOP Senators seemed to indicate they would not vote for the bill in its current version. The math is that the GOP can only lose 2 votes (they will likely get no votes from the Dems) for the bill to be approved. That number looks tough to get to at this point with the vote scheduled for Thursday… and that’s why despite a surge in stocks, bonds are also doing well. The 10-yr at 2.31% and mortgage bonds are +8bps.
Jerome Powell on the hot seat at the Senate Banking committee conference to approve his appointment to run the Fed when Ms. Yellen steps down in February. The seat is really not that hot for Powell and he should be confirmed pretty easily as he is already a Fed Governor.
The biggest headline of the day for our purposes though is that FHFA Announced the Maximum Conforming (conventional) Loan Limits for 2018. Fannie Mae and Freddie Mac Baseline Limit Will Increase to $453,100. This maximum loan amount will apply to VA loans as well with no down payment. FHA should be releasing their updated loan amounts shortly as well. If you would like more insight on specific areas or loan amounts for units, this is for you:
- For a list of the 2018 maximum loan limits for all counties and county-equivalent areas in the U.S. click here.
- For a map showing the 2018 maximum loan limits across the U.S. click here.
Make today great!