Daily Market Update 7/29/10

Mortgage rates dipped Thursday reflecting a rally in mortgage-backed securities (MBS) late Wednesday following a successful 5-year Treasury auction. Weekly Jobless Claims fell to 457,000, slightly below forecast. Results from today's 7-year Treasury auction will announced at 1:00 PM. The initial estimate for second quarter GDP will be released tomorrow at 8:30 AM. Investors will be watching the report closely, and MBS markets may be volatile in the meantime.