News You'll Use

Mortgage rates rose this week, as news of more treasury supply than expected in the bond markets drove rates higher. The data that came out this week was close to expectations, and that is excluding the Nonfarm payrolls. We have CPI data coming next week. The Fed, inflation data, and labor market data have been the rate drivers this year. This week's selloff begs the question of whether the market will start to focus on other drivers, such as treasury supply, which is the government selling more U.S. Treasuries, or if this sell-off was a one-off during a quiet period in the summer. We will have a better idea next week after we see more jobs and inflation data.

• U.S. 10-year Treasury closed at 4.17% on Thursday afternoon

• JOLTS Job Openings came in lower than analyst's expectations (9.582 million job openings vs expectations of 9.6 million job openings)

• ISM Manufacturing Index came in slightly lower than analyst's expectations (46.4 vs expectations of 46.9)

• ADP Employment Change came in higher than analyst's expectations (324,000 jobs vs expectations of 190,000 jobs)

• ISM Services Index came in lower than analyst's expectations (52.7 vs expectations of 53.1)

• Initial Jobless Claims came in slightly higher than analyst's expectations (227k claims vs expectations of 225k claims)

• Mortgage Applications fell 3.0% this week