NICE! Rates to come down even more tomorrow. Feds purchase power alive and well…

http://www.metchad.com/

Have you metChad…lately?

FNMA 4.5% : 50bps…GAIN today as investors fled to the bond market! Remember: there is "relative" safety in the bond market with the "guarantee" that was implied with the 200 billion dollar line of credit availability extended to FNMA and FHLMC this fall. Treasury bonds also got a HUGE boost with the 10 year T-note up 206 basis points! (This is a HUGE gain for one session.) The bonds that were auctioned off today proved further that investors are seeking the safety of the bond market.

Remember that the purchasing habits outlined by the report put out every Thursday indicated that the feds are buying 4.0 and 4.5% bonds like crazy....this tends to support mortgage rates of 4.5%-5.0%.

DOW: 298 points off…analysts fear that the stimulus package is seen as more of a "spending plan" than a "stimulus". Remember: there is no projected influence on the GDP… This means that there will not be any product or service created for export to bring in wealth of any kind to the US economy. There is much GOOD to be done with the package however including 36 billion worth of infrastructure investment, tax benefits, efforts to stimulate housing market and a few other notables. We ALL have need to hope for the best. Fears of "Nationalization of Banks" were also credited for some of the declines in the stock market along with fear of deflation and general recessionary fears. (It is always funny to see how the bumps and valleys are "explained" away by "experts"…)

DJIA 7,552.60 -297.81 NASDAQ 1,470.66 -63.70 SP500 789.17 -37.67

NY manufacturing Index: which gives us a feel for how things are going in New York State (which is a good indicator of manufacturing health in general)…came in weaker than expected today. The "Empire State Index" is derived from 175 surveys given primarily to CEO's of manufacturing companies to get a view of how things are going. Because it is considered a "real time" report providing data for consideration long before other reports…it tends to move markets.

Email Me for TAX benefit info Compliments of RENEE GAUGLER and her accountant…(THANKS RENEE!)

Have a great eve!

--
Chad Schauers
Have you metChad?
MetLife Home Loans
406.522.0922
406.522.0924 (fax)
1924 W. Stevens, Ste. 202
Bozeman, MT 59718

Cell: 406 799 8613
ccschauers@metlifehomeloans.com