monopoly_man_bankruptEarlier today:

  • The December Trade Deficit fell 4% to 39.9 billion, the lowest level since February 2003.  

  • Exports of goods and services fell 6% to 133.8 billion, the lowest level since May 2007.  

  • Imports fell roughly the same percentage and together, narrowed the trade gap with China by 13.8%.  

In other news, we have 21 billion of 10-year note coming to auction with results due at high noon CST.  The amount taken by indirect bidders (foreign players) will be the key and one that could move mortgage pricing. 

Outside of the auction, a star-studded cast of 8 major bank CEO’s are testifying before Congress on “How I spent the TARP money.” Finger pointing and arguing for the most part, but good theater nonetheless.