Daily Market Comment

Mortgage Bonds are lower, but much improved from their worst levels of the morning.
In the news, GDP rose higher than estimated for the first gain in a year and the strongest reading in two years. However, that number may be inflated by the recent Cash for Clunkers and $8,000 first-time homebuyer programs. Also today, Initial Jobless Claims were reported "less bad" than expected, and Continuing Jobless Claims fell to a 7-month low--but this low is likely due to benefits expiring rather than people finding jobs.
For now, I recommend floating, but be prepared to lock if things get rocky this afternoon due to the Treasury Department's auction of 7-year Notes.

Leonard Winslow, Dominion Trust Mortgage
434-760-2580 (cell)
leonard.winslow@dominiontrustmortgage.com
www.dominiontrustmortgage.com/leonard.winslow
Licensed by the Virginia State Corporation Commission. License #: MC-5112.