Investors to the sidelines

Mortgage Bonds are trading lower in the aftermath of yesterday's historic Fed Meeting, Stocks are flat while oil is also lower. Uncertainty surrounding the Fed's new rhetoric in yesterday's statement has caused investors to move to the sidelines today.

In economic news, Initial Jobless Claims declined while inflation at the wholesale level as measured by the Producer Price Index remained tame. Retail Sales rose in November after the impact of Hurricane Sandy subsided.

I am recommending to lock in the short term, but I feel that in the longer term, Floating is prudent as the Fed continues to hold home loan rates near record lows through its Mortgage Bond purchase program. If anything changes, I will get back to you.

Leonard Winslow
Direct: 434-760-2580
E-fax: 434-688-0496
943 Glenwood Station Lane, Suite 200
Charlottesville, Va. 22901
leonard.winslow@newamerican.com
web: http://www.newamerican.com/leonard.winslow
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