Rate Lock Advisory

Friday, July 20th

Friday’s bond market has opened in negative territory despite a calm open for stocks and no important economic data on tap today. The major stock indexes are mixed with the Dow down 2 points and the Nasdaq up 15 points. The bond market is currently down 10/32 (2.87%), but strength in bonds late yesterday should prevent an increase in this morning’s mortgage rates.

10/32


Bonds


30 yr - 2.87%

2


Dow


25,061

15


NASDAQ


7,840

Mortgage Rate Trend

Trailing 90 Days - National Average

  • 30 Year Fixed
  • 15 Year Fixed
  • 5/1 ARM

Indexes Affecting Rate Lock

Low


Positive


Bond Trends

Some lenders improved pricing intraday yesterday as bonds improved late in the day. If your lender improved pricing before closing Thursday, you should see an increase in this morning’s rates by the same amount. The net difference between Thursday’s morning rates and this morning’s pricing should be nearly unchanged.

Medium


Unknown


None

There is no relevant economic data being released today. There is no clear reason for this morning’s bond weakness other than some traders being pessimistic about which direction yields may be heading. Stocks aren’t having an impact on today’s bond trading or mortgage rates. If the major indexes make a noticeable move either direction, it could cause movement in bonds and possibly mortgage rates later today. Other than that, a pretty dead day in terms of data or other events to watch for mortgage rates direction.

---


Unknown


None

Next week brings us a handful of relevant economic reports that may influence mortgage rates, but only one is considered to be important. There are also a couple of Treasury auctions that have the potential to slightly affect the mortgage market. We do have a Monday release with June’s Existing Home Sales data being posted. Look for details on it and the rest of the week’s activities in Sunday evening’s weekly preview.