No, not me.
The federal jobs report came out this morning, and it was baaaaaad. That’s gooooood. For us, anyway.
I posted on this before, about how the employment picture has a great deal to do with bonds, because high employment is supposed to mean high inflation (how people can still be sold on this idea when we’ve had record low unemployment for years now and inflation has never crested 5%, I don’t know, and you would have thought that the Carter years of 10% unemployment and 18% inflation would have killed that off, too, but whatever), and high inflation is bad for bonds, and what is bad for bonds is bad for interest rates, so bad employment numbers is good for bonds and therefore good for interest rates, not that we really want people to be out of work, but we’re thinking primarily about ourselves here.
That was all one sentence.
I expect, given the huge move in bonds this morning, that we’ll be back to 6 – 6.125% on the 30-year fixed by Monday. Maybe not; lenders have a habit of not being willing to move down nearly as fast as they move up, but the market move certainly isn’t going to hurt anything. It is now virtually certain that the Fed will cut rates at its next meeting, and that is good for the economy as a whole, I believe.
Good news has been a long time coming in this part of the market, and it’s all the more welcome now that it has.