I’ve been thinking a lot lately about the question: Can Mortgage Rates Go Any Lower??? I’ve approached the question from several angles. The “double-dip” great recession option is still on the table. That means we can’t rule out the idea that benchmark Treasury yields might return to record lows and take mortgage rates along for [...]

Early activity this morning was soft for mortgage markets again; yesterday mortgage markets struggled while treasuries traded unchanged except for the 30 yr bond which saw buying to push its yield to a new low at 3.90%. Monday and Tuesday we saw strong buying of mortgages but yesterday and so far this morning there was [...]

Treasuries and mortgages opened a little better this morning with the key stock indexes slightly better at 9:00; the DJIA +31, 10 yr note +2/32 and mortgage prices +1/32 (.03 bp). No economic data this morning until 10:00 when April pending home sales hit, but the Challenger report said job losses are mitigating but still [...]

Fed discussed the prospects for selling the MBS and agency debt it recently stopped accumulating. There is some pressure for the Fed to divest itself of these investments at a pace faster than the normal runoff and retirement of loans would produce. Although no decision was made on when any such sales might occur, a [...]

Last Week: was marked by increased market volatility in the financial markets. The stock market led the way again for the rate markets. as equity markets rallied the bond and mortgage markets lost ground, when the equities fell last Thursday and Friday most all of the price declines in treasuries and mortgages were erased. On [...]

Tuesday’s bond market has opened well in positive territory due significant stock selling. The stock markets are posting large losses with the Dow down 220 points and the Nasdaq down 74 points. This has helped boost bond prices, pushing the bond market up 14/32, which will likely improve this morning’s mortgage rates by approximately .250 [...]

Friday’s bond market has opened well in negative territory as yesterday’s late selling continues into this morning. The stock markets are relatively flat with the Dow up 2 points and the Nasdaq down 3 points. The bond market is currently down 10/32, which with yesterday’s afternoon weakness should push this morning’s mortgage rates higher by [...]

Thursday’s bond market has opened in positive territory following early stock weakness. The stock markets are showing sizable losses with the Dow down 70 points and the Nasdaq down 17 points. The bond market is currently up 4/32, which should improve this morning’s mortgage rates by approximately .125 of a discount point. None of this [...]

Wednesday’s bond market has opened in positive territory despite a lack of economic news. The stock markets are showing minor gains with the Dow currently up 15 points and the Nasdaq nearly unchanged from yesterday’s close. The bond market is currently up 9/32, which should improve this morning’s mortgage rates by approximately .125 – .250 [...]

Tuesday’s bond market has opened down slightly with no relevant economic news on tap today and the stock markets in positive ground. The major stock indexes are showing gains with the Dow up 25 points and the Nasdaq up 12 points. The bond market is currently down 3/32, which will likely mean an increase of [...]