Market commentary

For the past few weeks the markets have focused on the unrest in the Middle East and North Africa, however, the global community is now focused on the disaster in Japan and the quickly unfolding events. As a result, the U.S. Treasury market is the recipient of a flight to quality bid with the yield on the 10 year note falling to 3.34%.

In addition to the above, we have a full economic calendar this week, beginning tomorrow with the FOMC meeting and the accompanying rate decision. Inflation data will come later in the week in the form of the Producer and Consumer Price Indices and Leading Indicators.

For today mortgage prices are improved by approximately .375% from the close on Friday.