6/9/10

Yesterday the U.S. Treasury sold 3-yr notes to solid demand which is always good news. The problems in Europe are still there, will be there for a long time, but aren’t quite grabbing the headlines they were a few weeks ago. But as they discussed how to reduce swollen budget deficits, Spanish public service workers staged a one-day strike which underlined the problems governments face implementing austerity measures such as spending cuts that will bring down wages..” Today we have some trade figures that come out later this morning, but still, it is another slow news day, and a slow news week. The nominal U.S. trade deficit for goods and services widened slightly in March with both imports and exports increasing. The fact that both increased would suggest continued, arguable recovery. But given the poor employment situation, growth in retail sales are not expected to be robust for some time and now with the fears of financial trouble brewing everywhere in the world, the consumer will be even more reluctant to spend in the months ahead. This morning. we find mortgage prices slightly worse than yesterdays close