Bond Market Update
Bond Market Update
Market Update
Thursday, May 8, 2025
What's going on, and why does it matter?
Mortgage bonds are hovering near their 10-day and 30-day moving averages, and stocks are set to open higher in hopes that the trade war may de-escalate. A US-UK trade deal was announced today, and there's optimism about a possible US-China deal at the upcoming trade talks. On today's economic calendar, weekly jobless claims ticked lower from the prior week. A few large Treasury auctions are scheduled throughout the day, which may put some negative pricing pressure on mortgage bonds.
What should you do about it?
Lock your rate to be safe.
Economic Calendar
Economic reports that may impact mortgage rates this week:
| Date | Report | Period | Prior | Est. | Actual |
|---|---|---|---|---|---|
| Mon 5 May | S&P Global Services PMI | Apr | 54.4 | - | 50.8 |
| Mon 5 May | ISM Services PMI | Apr | 50.8 | 50.6 | 51.6 |
| Tue 6 May | US Trade Deficit | Mar | $122.7B | $137B | $140.5B |
| Wed 7 May | Fed Funds Target Rate | - | 4.25-4.5% | 4.25-4.5% | 4.25-4.5% |
| Thu 8 May | Initial Jobless Claims | Week ending May 3 | 241k | 231k | 228k |