AGNC spread indications. Treasurys (TLT +0.7%) make new YTD lows in yield, the 10-year at 1.64%, the long bond at 2.84%.
Positive and negative. Yield seekers will look to div payers.
AGNC core income comes under pressure.
Big across the board selloff , but the volume is not convincing.
Economic positives: New Orders rose to 52.3 vs. 51.4 previously and Production moved to 53.5 from 52.2. The weakest numbers in the report are Inventories at 46.5 from 49.5 and Customers' Inventories at 44.5 from 47.5 - both suggesting a restocking is necessary.
This is a reaction to DeMarco leaving. Obama has been a proponent of loan forgiveness and there has always been some fear that when DeMarco leaves, there will be some movement in the area of "completely forgiving (certain) loans".
I think it is just panic, and little more. There's a lot in the way of being able to just "forgive housing loans" and with house prices trending the right direction I'm guessing there would be focus elsewhere by the administration (debt forgiveness is a topic from 2 years ago, today we talk about N.Korea, guns, Obamacare implementation detials and the like).
Yeah I saw the jobs number. It should have been pared with the orders, production, and inventory. But the lords needed a selling day so only lousy news was allowed out. At least this gives us two weeks to opex instead of days.