Wednesday, March 1, 2006 - 4:15 pm MST

[Adam in CO]

The ISM manufacturing index rose to 56.7% in February from 54.8% in January. The first gain in four months was a bit larger than expected. New orders and production gained as did employment and inventories. The prices paid index fell moderately. The level of the index suggests expansion in national manufacturing activity and gains in the key components indicate solid growth in the sector is to continue.

Personal income rose 0.7% in January on a hefty gain in transfer payments which includes cost of living increases in social security and rents. Wages and salaries climbed higher as well. Consumer spending rose 0.9% on the month and is up 6.8% on the year. A closely watched inflation gauge, the PCE deflator jumped 0.5% on higher energy prices. Ex-energy, the core PCE deflator was up 0.2%. Over the past year the overall and core consumer inflation increased 3.1% and 1.8% respectively, near the top end of what the Fed considers an acceptable range.

Construction spending gained just 0.2% in January, much less than the anticipated 1.2% gain as evidence mounts of significant slowing in the housing sector. The slight gain was surprising given the unseasonably warm weather and surge in housing starts in January. Also, economists were looking for a boost in spending from clean-up and reconstruction in the hurricane-devastated Gulf region. Breaking down the various categories shows a 0.2% gain in private construction expenditures as residential investment increased 0.1% on the month while non-residential spending gained 0.5%. Public construction expenditures inched 0.2% higher as a strong gain in highway and other projects was offset by a sharp decline in school building. The outlook for construction spending remains mixed. Residential spending will continue slowing from a robust pace last year, while recovered business investment will make for stronger spending gains in the nonresidential segment. Improved federal and local budgets presage public construction spending gains going forward.

The MBA mortgage applications index fell 1.2% to 571.5% for the week that ended February 24. The purchase index slipped 1.9% for the week while refinancing applications were almost unchanged. The flatter yield curve has diminished most refinancing opportunities as purchase activity continues to trend lower.



Stocks regained some lost ground from yesterday as the data encouraged views of a strong first quarter rebound. Stocks rallied and strength was broad based as upbeat reports on manufacturing and personal income and outlays brought the bargain hunters out to buy. The economic news trumped rising oil prices and higher interest rates. The Dow was up 60.12 to 11053.53. the NASDAQ gained 33.25 to 2314.64.

MARKETS CLOSING CHANGE
DJIA 11053.53 60.12
S&P500 1291.24 10.58
RUSSELL 2000 742.35 11.71
NASDAQ 2314.64 33.25
SECTORS - GAINERS & LOSERS
Semiconductors +3.3%
Automobiles -0.84%



Rising stocks and solid economic data weighed on Treasuries Wednesday. Stronger first quarter economic conditions suggest the Fed is not done raising rates just yet. In late trading the 10-year note was down 9/32 to 99-10/32 to yield 4.58%.

SECURITY YIELD CHANGE
2-Year Note 4.70 0.02
5-Year Note 4.62 0.03
10-Year Note 4.58 0.04
30-Year Treasury Bond 4.56 0.06



Average home prices shot up nearly 13% in 2005 despite rising mortgage rates the second half of the year according to OFHEO (Office of Federal Housing Enterprise Oversight). Home appreciation rates continue to hover near record levels even amidst signs of slowing in the once indefatigable housing market. Appreciation rates have decelerated in some markets but for the most part remain strong. Home price appreciation is expected to moderate this year in response to climbing inventories and slowing sales.

For the week ending 02/23/06

RATE LATEST CHANGE FEES
30-Yr Fixed (FHLMC) 6.26 -0.02 0.6
15-Yr Fixed (FHLMC) 5.89 -0.02 0.6
1-Yr Adj (FHLMC) 5.32 -0.04 0.7
3-Mo Libor (FNMA) 4.83 0.01 n/a



RATE LATEST CHANGE
Fed Funds 4.56 0.06
Prime Rate 7.50 0.00
Fed Discount 5.50 0.00
11th District COF 3.347 0.051

[Adam in CO]

The ISM manufacturing index rose to 56.7% in February from 54.8% in January. The first gain in four months was a bit larger than expected. New orders and production gained as did employment and inventories. The prices paid index fell moderately. The level of the index suggests expansion in national manufacturing activity and gains in the key components indicate solid growth in the sector is to continue.

Personal income rose 0.7% in January on a hefty gain in transfer payments which includes cost of living increases in social security and rents. Wages and salaries climbed higher as well. Consumer spending rose 0.9% on the month and is up 6.8% on the year. A closely watched inflation gauge, the PCE deflator jumped 0.5% on higher energy prices. Ex-energy, the core PCE deflator was up 0.2%. Over the past year the overall and core consumer inflation increased 3.1% and 1.8% respectively, near the top end of what the Fed considers an acceptable range.

Construction spending gained just 0.2% in January, much less than the anticipated 1.2% gain as evidence mounts of significant slowing in the housing sector. The slight gain was surprising given the unseasonably warm weather and surge in housing starts in January. Also, economists were looking for a boost in spending from clean-up and reconstruction in the hurricane-devastated Gulf region. Breaking down the various categories shows a 0.2% gain in private construction expenditures as residential investment increased 0.1% on the month while non-residential spending gained 0.5%. Public construction expenditures inched 0.2% higher as a strong gain in highway and other projects was offset by a sharp decline in school building. The outlook for construction spending remains mixed. Residential spending will continue slowing from a robust pace last year, while recovered business investment will make for stronger spending gains in the nonresidential segment. Improved federal and local budgets presage public construction spending gains going forward.

The MBA mortgage applications index fell 1.2% to 571.5% for the week that ended February 24. The purchase index slipped 1.9% for the week while refinancing applications were almost unchanged. The flatter yield curve has diminished most refinancing opportunities as purchase activity continues to trend lower.



Stocks regained some lost ground from yesterday as the data encouraged views of a strong first quarter rebound. Stocks rallied and strength was broad based as upbeat reports on manufacturing and personal income and outlays brought the bargain hunters out to buy. The economic news trumped rising oil prices and higher interest rates. The Dow was up 60.12 to 11053.53. the NASDAQ gained 33.25 to 2314.64.

MARKETS CLOSING CHANGE
DJIA 11053.53 60.12
S&P500 1291.24 10.58
RUSSELL 2000 742.35 11.71
NASDAQ 2314.64 33.25
SECTORS - GAINERS & LOSERS
Semiconductors +3.3%
Automobiles -0.84%



Rising stocks and solid economic data weighed on Treasuries Wednesday. Stronger first quarter economic conditions suggest the Fed is not done raising rates just yet. In late trading the 10-year note was down 9/32 to 99-10/32 to yield 4.58%.

SECURITY YIELD CHANGE
2-Year Note 4.70 0.02
5-Year Note 4.62 0.03
10-Year Note 4.58 0.04
30-Year Treasury Bond 4.56 0.06



Average home prices shot up nearly 13% in 2005 despite rising mortgage rates the second half of the year according to OFHEO (Office of Federal Housing Enterprise Oversight). Home appreciation rates continue to hover near record levels even amidst signs of slowing in the once indefatigable housing market. Appreciation rates have decelerated in some markets but for the most part remain strong. Home price appreciation is expected to moderate this year in response to climbing inventories and slowing sales.

For the week ending 02/23/06

RATE LATEST CHANGE FEES
30-Yr Fixed (FHLMC) 6.26 -0.02 0.6
15-Yr Fixed (FHLMC) 5.89 -0.02 0.6
1-Yr Adj (FHLMC) 5.32 -0.04 0.7
3-Mo Libor (FNMA) 4.83 0.01 n/a



RATE LATEST CHANGE
Fed Funds 4.56 0.06
Prime Rate 7.50 0.00
Fed Discount 5.50 0.00
11th District COF 3.347 0.051

[alldunn]

[ZigsRig]

<font size=20> <marquee>PAD</marquee></font>

[CO Hummer]

<BLOCKQUOTE class="ip-ubbcode-quote"><div class="ip-ubbcode-quote-title">quote:</div><div class="ip-ubbcode-quote-content">Originally posted by Adam in CO:
The ISM manufacturing index rose to 56.7% in February from 54.8% in January. The first gain in four months was a bit larger than expected. New orders and production gained as did employment and inventories. The prices paid index fell moderately. The level of the index suggests expansion in national manufacturing activity and gains in the key components indicate solid growth in the sector is to continue.

Personal income rose 0.7% in January on a hefty gain in transfer payments which includes cost of living increases in social security and rents. Wages and salaries climbed higher as well. Consumer spending rose 0.9% on the month and is up 6.8% on the year. A closely watched inflation gauge, the PCE deflator jumped 0.5% on higher energy prices. Ex-energy, the core PCE deflator was up 0.2%. Over the past year the overall and core consumer inflation increased 3.1% and 1.8% respectively, near the top end of what the Fed considers an acceptable range.

Construction spending gained just 0.2% in January, much less than the anticipated 1.2% gain as evidence mounts of significant slowing in the housing sector. The slight gain was surprising given the unseasonably warm weather and surge in housing starts in January. Also, economists were looking for a boost in spending from clean-up and reconstruction in the hurricane-devastated Gulf region. Breaking down the various categories shows a 0.2% gain in private construction expenditures as residential investment increased 0.1% on the month while non-residential spending gained 0.5%. Public construction expenditures inched 0.2% higher as a strong gain in highway and other projects was offset by a sharp decline in school building. The outlook for construction spending remains mixed. Residential spending will continue slowing from a robust pace last year, while recovered business investment will make for stronger spending gains in the nonresidential segment. Improved federal and local budgets presage public construction spending gains going forward.

The MBA mortgage applications index fell 1.2% to 571.5% for the week that ended February 24. The purchase index slipped 1.9% for the week while refinancing applications were almost unchanged. The flatter yield curve has diminished most refinancing opportunities as purchase activity continues to trend lower.



Stocks regained some lost ground from yesterday as the data encouraged views of a strong first quarter rebound. Stocks rallied and strength was broad based as upbeat reports on manufacturing and personal income and outlays brought the bargain hunters out to buy. The economic news trumped rising oil prices and higher interest rates. The Dow was up 60.12 to 11053.53. the NASDAQ gained 33.25 to 2314.64.

MARKETS CLOSING CHANGE
DJIA 11053.53 60.12
S&P500 1291.24 10.58
RUSSELL 2000 742.35 11.71
NASDAQ 2314.64 33.25
SECTORS - GAINERS & LOSERS
Semiconductors +3.3%
Automobiles -0.84%



Rising stocks and solid economic data weighed on Treasuries Wednesday. Stronger first quarter economic conditions suggest the Fed is not done raising rates just yet. In late trading the 10-year note was down 9/32 to 99-10/32 to yield 4.58%.

SECURITY YIELD CHANGE
2-Year Note 4.70 0.02
5-Year Note 4.62 0.03
10-Year Note 4.58 0.04
30-Year Treasury Bond 4.56 0.06



Average home prices shot up nearly 13% in 2005 despite rising mortgage rates the second half of the year according to OFHEO (Office of Federal Housing Enterprise Oversight). Home appreciation rates continue to hover near record levels even amidst signs of slowing in the once indefatigable housing market. Appreciation rates have decelerated in some markets but for the most part remain strong. Home price appreciation is expected to moderate this year in response to climbing inventories and slowing sales.

For the week ending 02/23/06

RATE LATEST CHANGE FEES
30-Yr Fixed (FHLMC) 6.26 -0.02 0.6
15-Yr Fixed (FHLMC) 5.89 -0.02 0.6
1-Yr Adj (FHLMC) 5.32 -0.04 0.7
3-Mo Libor (FNMA) 4.83 0.01 n/a



RATE LATEST CHANGE
Fed Funds 4.56 0.06
Prime Rate 7.50 0.00
Fed Discount 5.50 0.00
11th District COF 3.347 0.051 </div></BLOCKQUOTE>

That's a load of bull. I don't believe a word of it. Never have.