Friday, April 29, 2016 - 16:13 Fannie Mae Mar Duration Gap Still Zero;Portf Y/Y -15.1% - Text 0
--Duration Gap Zero Every Month in Past Year
WASHINGTON (MNI) - The following is Fannie Mae's summary of February activity, published Friday:
- Fannie Mae's Book of Business increased at a compound annualized rate of 1.6 percent in March.
- Fannie Mae's Gross Mortgage Portfolio decreased at a compound annualized rate of 15.1 percent in March.
- The Conventional Single-Family Serious Delinquency Rate decreased eight basis points to 1.44 percent in March; the Multifamily Serious Delinquency Rate decreased one basis point to 0.06 percent in March.
- The Effective Duration Gap on Fannie Mae's portfolio averaged zero months in March.
- Fannie Mae completed 7...
Friday, April 29, 2016 - 11:56 Fed Focus: Further Wage Gains Have To Cheer Fed Policymakers 0
By Steven K. Beckner
(MNI) - To the consternation of Federal Reserve policymakers, wage growth has been unusually slow since the financial crisis tipped the economy into recession, but as labor markets tighten there are mounting signs of moderate wage pressures.
Two government reports seemed to confirm the uptrend Friday.
Wage gains are not the be-all and end-all of monetary policy. Some officials, notably Chicago Federal Reserve Bank President Charles Evans, have put more emphasis on the need to see faster wage gains to justify higher interest rates than others.
It is generally recognized that weak productivity growth limits the potential for higher wages.
Friday, April 29, 2016 - 09:34 Overnight Repo: Tsys Genl Coll Tighter; 5Y, 10Y Note In Demand 0
By Sheila Mullan
NEW YORK (MNI) - The overnight repo market Friday saw the Treasury General Collateral tighten up mildly, with also demand stirring in the 5-year and 10-year notes.
The 5-year notes saw auction-tied demand this past week amid shorts, while the 10-year note just saw a Friday flurry of recent demand, said traders. The 5-year note reflects cross-market action too, said traders.
The Treasury General Collateral began New York at 0.38% and tightened up to 0.35%, likely reflecting a month-end bid for safe collateral. - Tsy General O/N Coll. 0.35% Federal Funds........ 0.37% Agencies ............ 0.40% MBS ................. 0.45% - 1-month bill ........ 0.30% 3-month bill ........ 0.35% 6-month bill...
Friday, April 29, 2016 - 08:37 Canada Mar Industrial Prices -0.6% M/M; Ex CAD Impact +0.3% 0
--IPPI Excluding Energy -1.3%, Laregst Drop Since May 2009
--RMPI +4.5% M/M, -9.7% Y/Y
OTTAWA (MNI) - Canadian industrial product prices fell a further 0.6% in March, following a 1.0% decrease in February on widespread declines led by motor vehicles, Statistics Canada reported Friday.
As a result, the industrial product price index was down 2.1% on the year, following a 1.3% drop in February.
Excluding a 5.2% gain in energy and petroleum products, the IPPI would have been down 1.3%, the largest monthly drop since May 2009, for a 0.5% 12-month increase after rising 1.7% in February.
Friday, April 29, 2016 - 08:35 Canada Feb Growth Contracts 0.1% M/M As Expected; Goods -0.6% 0
--Services Unchanged Overall; Wholesale Sales -1.8%, Retail +1.4%
OTTAWA (MNI) - Canada's economy experienced a 0.1% pullback in February from four previous consecutive months of growth and in seven of the earlier eight months, as had been expected, Statistics Canada reported Friday.
The February decline was felt in the goods-producing industries overall, down 0.6%, with manufacturing leading the drop at -0.8% and mining, quarrying and oil and gas extraction down also by 0.8%.
Economists surveyed by MNI had expected a -0.1% print versus the 0.6% gain recorded in January.
The February decline left the first quarter GDP...
Friday, April 29, 2016 - 08:30 ANALYSIS:US Mar PersInc +0.4%,PCE +0.1%, Poor Pattern into Q2 0
--YOY Core PCE Px Edged Down to +1.6%; Q1 ECI +0.6%, As Expected
WASHINGTON (MNI) - The most recent March U.S. Personal Income report was about as expected but shows little strength into Q2. The Q1 Employment Cost Index did not show any signs of getting out of hand.
March Personal Income posted +0.4%, Personal Consumption Expenditures posted +0.1%, and core PCE prices were up +0.1% for +1.6% over the year.
These data all were incorporated into the Q1 GDP report, but show monthly patterns: real PCE was weak at the start and end of Q1, and core prices edged lower into Mar. This is not a good trajectory for Q2.