Rates UP This Week, NO CHANGE TO BENEFIT AMOUNTS Next Week
The 10YR CMT has moved further up again this week, and as a result, we will see an increase in the 10YR CMT for next week. However, this increase will result in NO CHANGE to PRINCIPAL LIMITS or BENEFIT AMOUNTS next week!
The 10YR CMT currently sits at 4.47% for this week, and we will see an increase of 4-6 bps in the Expected Rate next week! This will have NO IMPACT on the Expected Rate, and will result in the SAME Principal Limits and Benefit Amounts for next week!!
As we approach the long Memorial Day holiday weekend, treasury yields are mostly lower today as investors continue to evaluate the potential effects of President Trump’s House approved tax legislation, with concerns of deficit growth as a result. The markets are also looking at the President’s latest statement this morning involving new potential tariffs directed at the European Union and an additional import tax on IPhones not made in the US.
On the data front, new home sales are projected to be down versus last month’s numbers; while new building permits are expected to come in basically unchanged. And, as earnings season winds down, over 78% of all companies reporting have beaten analysts earning estimates with health care and communication stocks leading the charge. Initial jobless claims also fell slightly this week.
Here at SimpleReverse, we hope that you all get the chance to enjoy the holiday weekend and spend some time with family and friends getting refreshed and ready to get back to work next week. SimpleReverse, as well as all markets, banks and government offices will be closed on Monday in observance of the Memorial Day holiday.
This week, the 10YR CMT Index is 4.47%. Here is what the 10YR CMT has done this week, so we will see an increase in the 10YR CMT for next week. This increase WILL HAVE NO IMPACT on Principal Limits!
10YR CMT
5/19/25 5/20/25 5/21/25 5/22/25 5/23/25 (Intraday)
4.46 4.48 4.58 4.54 4.52
Based on the data from this week, we will see an INCREASE in the Expected Rate of 4-6 bps for next week. This INCREASE WILL HAVE NO IMPACT on the Principal Limits and Benefit Amounts for next week. So, if you have applications to take, there will be NO DIFFERENCE IN BENEFIT AMOUNTS FOR YOUR CUSTOMERS IF YOU TAKE APPLICATIONS NOW OR WAIT UNITL NEXT WEEK TO TAKE YOUR APPLICATIONS!! With the holiday on Monday, new rates for next week will not take effect until Wednesday, 5/28/25 and beyond! And, as always, we are simply providing this data to you, so that YOU can continue to make the decisions that best suit your business based on the information you have!
If you have questions about this, please let me know right away!!! Thanks for the partnership and Good Selling!!!
