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Yesterday the Fed left interest rates in place.  Ironically, this puts upward pressure on mortgage bonds.  The 10 Year has risen to 2.36% this morning, the highest in a month.  The Fed commented that although GDP for the first quarter was only 0.7%, they have reason to believe that the second quarter will produce a 4.3% expansion rate.  That would net the growth for the year above the 2.0% target rate, and poise the economy for the two further rate hikes promised.

Tomorrow is the Jobs Report.  Like the expectation on GDP, last month’s measly 98,000 is anticipated to flourish to 180,000 new jobs created this month.  The Unemployment Rate is also expected to drop to 4.6%.  See you tomorrow!