Wednesday, July 18, 2012

Mortgage bond prices opened higher Wednesday

Mortgage bond prices opened higher Wednesday morning erasing the small losses seen Tuesday afternoon.

In news released at the open, housing starts printed at 760K. Expectations were for starts to increase 35K to 743K. That data was stronger than expected.

Traders are waiting for stocks to begin trade at 9:30 am ET. Federal Reserve Chairman Ben Bernanke will be in front of the House today delivering a carbon copy of the talk he gave the Senate yesterday.

This afternoon the Fed Beige book data will be released. The report details economic activity in the US. Traders will scour the report hoping to find the silver bullet that is QE3. That data will be released at 2:00 pm ET.

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