![\"excelling](\"https:\/\/www.mbsquoteline.com\/home\/wp-content\/uploads\/2022\/01\/excelling-labor-market-actually-now-offsets-sluggish-manufacturing-sector-mortgagetime-mbsquoteline-chart-1024x512.png\")
<\/a><\/figure><\/div>\n\n\n\nWeaker Manufacturing Sector & Fed Comments<\/h2>\n\n\n\n
Aside from the excelling labor market, Thursday\u2019s manufacturing report came across as weak. The ISM national manufacturing index fell sharply from 59.3 to 54.1. therefore, the national manufacturing index dropped below the consensus of 58.0. In doing so, it hit the lowest level since November 2016. Despite the shortfall, readings above 50.0 indicate an expansion in the sector.<\/p>\n\n\n\n
Beyond the reporting, investors paid close attention to comments by Fed Chair Powell on Friday. Of note, Powell said that the Fed is not on a “preset path” for monetary policy and is open to adjustments based on changing financial conditions. Investors felt encouraged that the Fed may scale back the pace of monetary tightening in response to signs of slowing economic growth or financial market turbulence.<\/p>\n\n\n\n
Looking Ahead After Excelling Labor Market<\/h2>\n\n\n\n
Looking ahead after the excelling labor market, the ISM national services index releases on Monday. The minutes from the December 19th<\/sup> Fed meeting come out on Wednesday. These detailed minutes provide additional insight into the debate between Fed officials about future monetary policy and have the potential to move markets.<\/p>\n\n\n\n The Consumer Price Index (CPI) comes out on Friday. Investors widely follow CPI since it looks at the price change for goods and services. In addition, Treasury auctions on Wednesday and Thursday hold potential to influence mortgage rates.<\/p>\n\n\n\n Also note that the government shutdown (which started December 22nd<\/sup>) caused delays in economic reporting. It is likely to continue creating delays while it stays in effect. Generally, the government offers little insight in advance as to when the impacted data will be ready to be released.<\/p>\n\n\n\n Want to see how the excelling labor market impacts mortgage-backed securities? Never miss an update with MBSQuoteline. To receive by-the-minute updates on mortgage-backed securities, try our platform free for 14 days.<\/strong><\/a><\/p>\n\n\n\n Stay connected with MBSQuoteline on social media by following us on Facebook<\/a>, Twitter<\/a>, and LinkedIn<\/a>.<\/p>\n\n\n\n All material Copyright \u00a9 Ress No. 1, LTD (DBA MBSQuoteline) and may not be reproduced without permission. To learn more about the MortgageTime\u2122 newsletter, please contact MBSQuoteline at 800.627.1077<\/a> or info@mbsquoteline.com<\/a>.<\/p>\n","protected":false},"excerpt":{"rendered":" This week, the excelling labor market actually offset weak manufacturing data and concern over the pace of global economic growth this week.<\/p>\n","protected":false},"author":9,"featured_media":3641,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[426],"tags":[467,81,472,82,440,31,486,468,73,407,347,427,33,441,387,69],"class_list":["post-2401","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-mortgagetime","tag-average-hourly-earnings","tag-consumer-price-index","tag-core-cpi","tag-cpi","tag-employment","tag-federal-reserve","tag-ism","tag-ism-manufacturing","tag-ism-services-index","tag-job-gains","tag-labor-market","tag-manufacturing","tag-mbs","tag-mortgage-backed-securities-2","tag-treasury-bonds","tag-unemployment"],"_links":{"self":[{"href":"https:\/\/www.mbsquoteline.com\/home\/wp-json\/wp\/v2\/posts\/2401","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.mbsquoteline.com\/home\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.mbsquoteline.com\/home\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.mbsquoteline.com\/home\/wp-json\/wp\/v2\/users\/9"}],"replies":[{"embeddable":true,"href":"https:\/\/www.mbsquoteline.com\/home\/wp-json\/wp\/v2\/comments?post=2401"}],"version-history":[{"count":7,"href":"https:\/\/www.mbsquoteline.com\/home\/wp-json\/wp\/v2\/posts\/2401\/revisions"}],"predecessor-version":[{"id":4203,"href":"https:\/\/www.mbsquoteline.com\/home\/wp-json\/wp\/v2\/posts\/2401\/revisions\/4203"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.mbsquoteline.com\/home\/wp-json\/wp\/v2\/media\/3641"}],"wp:attachment":[{"href":"https:\/\/www.mbsquoteline.com\/home\/wp-json\/wp\/v2\/media?parent=2401"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.mbsquoteline.com\/home\/wp-json\/wp\/v2\/categories?post=2401"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.mbsquoteline.com\/home\/wp-json\/wp\/v2\/tags?post=2401"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}
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