We have seen a little relief on mortgage rates, thanks to a better than expected Treasury Auction yesterday. Also the GDP came in better than expected, however consumer spending is still down. That makes sense with the increase we have seen in the personal savings rate.
I recommend locking today we have hit the floor on rates that we have seen 3 times in the last month. Each time rates pop back up. Have a great weekend.
Mortgage bonds have been all over the place today. Currently we are in the same place we were on Friday. The cause of this big movement was the Case/Shiller Home Price Index which measures price and inventory of housing. These numbers were better than expected. However the Treasury auctioned off 42 billion in notes and this was not well received by the market. So we lost the positive ground that we saw earlier in the day.
I recommend locking today.
Yesterday mortgage bonds had a bad day, this has caused interest rates to increase about .25% from Tuesday. The culprits on the increase in mortgage rates were the run of the stock market which closed above 9,000 for the first time since January. Also the positive news on the housing market caused this. We are currently down to a 9.4 month supply, this is the best number in 8 months.
Also Consumer Sentiment, which measures consumer attitudes came in as expected.
I recommend floating for now, however things could change quickly.
Stocks and bonds are both up today, which doesn’t happen a lot. This should help rates come back down just a little bit, we are still north of 5%.
Big news of the day is Fed Chief Ben Bernanke is in front of House Financial Services Committee.
I recommend floating today, however things could change quickly.
Bonds are down today which isn’t good news for mortgage rates. The main factor in this increase is the Housing Starts for June showed an increase. The last two months of this number show that the housing recovery may be underway.
However earning announced today from B of A, GE, IBM and Citi show that the economy is still difficult.
We seem to have to started the process of recovery and because of that interest rates will be all over the place for at least the next 6 months. During economic recovery you get many positive and negative signs, and that will create havoc with rates. That is why it is so important to be working with a mortgage professional that knows what is going on in the market.
I recommend locking today, have a great weekend.
Mortgage rates have gone back up today, based on some economic numbers that could show signs of inflation. Tomorrow’s numbers will be important as well. In other news Goldman Sachs reported great earnings and paid back their TARP money.
I recommend locking today ahead of tomorrows numbers.
After gaining some ground on Tuesday and Wednesday this week, bonds gave a lot of it back yesterday. The main cause of the positive pricing was the bond auction that the Fed held earlier in the week. Rates are just a little lower than we started the week with.
However stocks are down this morning thanks to poor economic numbers from the Balance of Trade report and the Consumer Sentiment.
I recommend floating as rates seem to have broken below an important floor and we could see some more positive reaction next week.
Have a great weekend.
Stocks are down this morning, despite a jump in oil prices. Mortgage bonds and interest rates are flat. We are back to an important floor on interest rates that will be difficult to break thru. There is not much economic news out this week, however the Treasury is selling more bonds later in the week. How they sell will be important to the markets.
I recommend floating today, however the situation could change rapidly so stay tuned.
Rates came back down to last week’s level, because of the poor employment reports and the strengthening of the dollar. However these have had a negative affect on stocks.
I recommend locking today and taking advantage of the gains. Have a great Fourth of July and hold a good thought for the people that continue to preserve our freedom.
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