Articles from June 2017



Mortgage Rates Highest in More Than 2 Weeks

Mortgage rates moved moderately higher again today, as investors continued digesting the possibility of a “taper tantrum” in Europe. The US version of the taper tantrum occurred in 2013 when the Fed began signaling its intention to buy fewer bonds. Fed bond buying was a key motivation for the all-time low rates seen in 2012. […]

Mortgage Rates Bounce Higher

Mortgage rates saw their biggest bounce higher in more than a week today as domestic bond markets (which dictate rates) followed a much bigger move in European bond markets. The European move can be traced to comments from European Central Bank President Mario Draghi depending on the lender. In a nutshell, his comments sounded like […]

Rates Still Flat at 8-Month Lows

Mortgage rates were steady to slightly lower today, depending on the lender. Underlying financial markets continue moving in a narrow range–something that’s not uncommon for the first few weeks of the summer. It’s that market movement that can result in mortgage lenders issuing mid-day reprices. The more volatile and the bigger the moves, the more […]

Mortgage Rates Sideways to Slightly Lower

Mortgage rates have been so little-changed in recent days that yesterday’s coverage wouldn’t need to be changed in order to apply perfectly today. Indeed, the 3rd paragraph is a word-for-word repeat. To be fair though, we would need to update yesterday’s reference to “especially over the past 5 days.” That “5” would now be a […]

Rates Cap Impressively Sideways Week Near Long-Term Lows

Weeks like this are the reason that some mortgage rate analysis is only done once a week. There haven’t been any significant developments in financial markets–at least not as far as bonds (which dictate rates) have been concerned. And there certainly hasn’t been any significant movement in mortgage rates themselves. In fact, with the exception […]

Mortgage Rates are Barely Budging (And That's Great!)

Mortgage rates have been locked in an exceptionally narrow range for most of the month of June, but especially over the past 5 days. Given that mortgage rates are determined by the bond market where trading levels move constantly throughout the day, it can be useful to consider what’s been happening with those trading levels. […]

Rates Fall Slightly to Remain Near 8-Month Lows

Mortgage rates were steady to slightly lower today, with underlying bond markets essentially erasing the damage seen yesterday. This was neither here nor there for the mortgage world as most lenders didn’t adjust rates much higher yesterday (despite bond weakness). Thus, they didn’t have much to do today when bonds strengthened. In general “bond market […]

Mortgage Rates Fairly Steady to Begin Week

Mortgage rates were mostly flat again today, despite bond market weakness (lower bond prices generally mean higher rates). Between MBS (the mortgage-backed-securities that underlie mortgage rate movement) and US Treasuries (the risk-free benchmark for all US debt/bonds), the latter fared worse. In other words, mortgage bonds outperformed Treasuries. That’s one of the reasons we didn’t […]

Recent Mortgage Rate Stability Could Change Tomorrow

Mortgage rates moved modestly higher today, for most lenders. This had more to do with yesterday’s market movement than today’s. Bond markets were weakening yesterday afternoon (which typically results in rates moving higher). But the weakness came too late in the day for most lenders to bother with reissuing rate sheets. Instead, they waited for […]

Rates Drop to 8-Month Lows

Mortgage rates fell convincingly today, though not all lenders adjusted rates sheets in proportion to the gains seen in bond markets (which underlie rate movement). Those gains came early, with this morning’s economic data coming in much weaker than expected. Markets were especially sensitive to the Consumer Price Index (an inflation report) which showed core […]