U.S. mortgage bonds firm, eyes on follow-up buying - 2004-05-24
Prices of U.S. mortgage bonds firmed in early trade on Monday with a focus on whether traders will continue MBS acquisitions after buying increased last week, analysts said.

Thirty-year and 15-year MBS prices were generally unchanged to up 2/32 in early trade on Monday. Bond equivalent yields on 30-year, 6-percent issues were unchanged to 2 basis points lower than late Friday.

The yield on 10-year Treasury notes was at
4.75 percent, off from 4.76 percent at Friday's close.
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Interest rates 'to rise to 5.25%' - 2004-05-24
Interest rates will go up to 5.25% by the end of the year, the Council of Mortgage Lenders has forecasted.

Director-general Michael Coogan stated: "We are not expecting a house price crash, we expect there to be a slowdown."

Mr Coogan said house price rises would continue to be above 10% this year, but they would slow down to 8% next year.

Asked what action the Monetary Policy Committee (MPC) of the Bank of England should take, he told BBC Radio 4's Today programme: "We expect them to put interest rates up over the rest of this year to 5.25%. They are not going to target house prices, they don't need to."
Read the full story at ic Huddersfield.co.uk