This morning saw markets opening strong based on the information that the European Central Bank will cut its interest rates in an effort to stop the economic decline.

Another factor was a report showing the economy of China to be slowing, but this in fact a deliberate effort of the Chinese government to fend off inflation.

Improving prices in the housing market will increase the supply.  The February housing price index showed an increase of 1.9% for housing in New Jersey and Pennsylvania.

We are awaiting the results of today's treasury auction and will update you as soon as the numbers are received.

Today saw a loss in the rate markets due to the improvements in the stock market.

HOWEVER:  If the 10 yr. Treasury Bond closes below 1.7%, we expect to see a reduction in interest rates for tomorrow.

- Michael Corboy