Erik A. Johnson, CFP®, AIF®
Founding Partner and Chief Compliance Officer
                    
Marc C. Fleischer, JD, CFP®, CKA®, AIF®
Financial Planner
www.fandjwm.com
Market Update
(all values as of 10.31.2023)

Stock Indices:

Dow Jones 33,052
S&P 500 4,193
Nasdaq 12,851

Bond Sector Yields:

2 Yr Treasury 5.07%
10 Yr Treasury 4.88%
10 Yr Municipal 3.64%
High Yield 9.38%

YTD Market Returns:

Dow Jones -0.28%
S&P 500 9.23%
Nasdaq 22.78%
MSCI-EAFE 0.21%
MSCI-Europe 1.38%
MSCI-Pacific -1.75%
MSCI-Emg Mkt -4.31%
 
US Agg Bond -1.82%
US Corp Bond -0.91%
US Gov’t Bond -1.43%

Commodity Prices:

Gold 1,992
Silver 22.96
Oil (WTI) 81.36

Currencies:

Dollar / Euro 1.05
Dollar / Pound 1.21
Yen / Dollar 149.40
Canadian /Dollar 0.72
 

Higher Mortgage Rates Keep Homebuyers from Buying – Housing Market

With interest rates breaching higher levels, mortgages are becoming less affordable for millions of Americans. As a result, demand for new mortgages continues to reach decades-long lows, influencing homebuyers to either wait for rates to fall or for home prices to drop significantly.

Economists believe that a unique dynamic has evolved from the current housing environment. Existing homeowners with low mortgage rates are hesitant to sell and move into a higher-rate mortgage, enticing homeowners to stay put. This in effect minimizes the inventory of homes available for sale and possibly acts as a price buffer for available homes.

The 30-year fixed mortgage rate reached 6.65% in early March, its highest point since November of last year. This comes amidst continuously higher mortgage loan rates that reached as high as 7.08% in October and November of 2022, a 20-year high that the housing market last saw in 2002.

Sources: Federal Reserve of St. Louis, Freddie Mac.