The curve is about half a basis point higher this morning following a quite overnight session in which investors largely sat on their hands waiting for Fed Chair Powell’s speech this morning at 10 am EDT. US equity futures moved higher with European equity markets following strong data prints out of Germany; while Asian stock markets saw mixed results as the trade talks between China and the US seemed to do little to assuage fears of a back and forth levying of tariffs.

The market will be paying a little more attention to Powell’s speech this morning than it otherwise would have given the recent criticism of monetary policy by President Trump. Other than the speech the calendar is light today with durable goods order the only other event on the docket. The market is expecting a decline of 1% month over month in the reading.

Hafizan Hamzah
Director, Investment Management Group

Date TimeEventSurveyActualPriorRevised
08/22/2018MBA Mortgage Applications4.20%-2.00%
08/22/2018Existing Home Sales5.40m5.34m5.38m
08/22/2018Existing Home Sales MoM0.40%-0.70%-0.60%
08/22/2018FOMC Meeting Minutes
08/23/2018Initial Jobless Claims215k210k212k
08/23/2018Continuing Claims1730k1727k1721k1729k
08/23/2018FHFA House Price Index MoM0.30%0.20%0.20%0.40%
08/23/2018House Price Purchase Index QoQ1.10%1.70%1.90%
08/23/2018Bloomberg Consumer Comfort58.658.9
08/23/2018Markit US Manufacturing PMI5554.555.3
08/23/2018Markit US Services PMI55.855.256
08/23/2018Markit US Composite PMI5555.7
08/23/2018New Home Sales645k627k631k638k
08/23/2018New Home Sales MoM2.20%-1.70%-5.30%-2.40%
08/23/2018Kansas City Fed Manf. Activity231423
08/24/2018Durable Goods Orders-1.00%-1.70%0.80%0.70%
08/24/2018Durables Ex Transportation0.50%0.20%0.20%0.10%
08/24/2018Cap Goods Orders Nondef Ex Air0.50%1.40%0.20%0.60%
08/24/2018Cap Goods Ship Nondef Ex Air0.30%0.90%0.70%0.90%