Welcome to Thoughts on the Market.
I'm Jay Backow, co-head of Securitized Products Research at Morgan Stanley.
And I'm Jim Egan, the other co-head of Securitized Products Research at Morgan Stanley.
And today we're here to talk about all of the headlines that we've been seeing and how they impact the U.S. housing market.
It's Thursday, April 24th at 9 a.m. in New York.
Jim, there are a lot of headlines right now.
Mortgage rates have decreased about 60 basis points from the highs that we saw in January to the beginning of April.
But since the tariff announcements, they've retraced about half of that move.
Now, speaking of the tariffs, I would imagine that's going to increase the cost of building homes.
So what does all of this mean for the U.S. housing market?
On top of everything you just mentioned.
The stock market is down over 15% from recent peaks.
So there is a lot going on these days.
We think it all has implications for the U.S. housing market.
Where do you want me to start?
I think it's hard to have a conversation these days without talking about tariffs.
So let's start there.
So we worked on the impacts of tariffs on the U.S. housing market with our colleagues in economics research.
And we did share some of the preliminary findings on another episode of this podcast a couple weeks ago.
Since then...