November 8th, 2019 12:59 PM by T. Fanning
Last Updated: 11/8/19Friday's bond market initially opened in negative territory before moving into positive ground. Stocks are showing moderate losses with the Dow down 56 points and the Nasdaq down 7 points. The bond market is currently up 4/32 (1.91%), but extreme volatility yesterday should keep this morning's mortgage rates close to Thursday's early pricing. Many lenders revised pricing intraday, some more than once as the markets changed direction. Therefore, whether or not you see a change today depends on the size of the revision(s) you saw yesterday afternoon.Yesterday's 30-year Treasury Bond auction was not as good as Wednesday's 10-year Note sale but still good enough to consider it favorable for mortgage rates. It was not the cause of the intraday volatility though. Results of the sale were posted at 1:00 PM ET, after the craziness had started.November's preliminary reading of the University of Michigan's Index of Consumer Sentiment was posted at 10:00 AM ET this morning. It came in at 95.7, up slightly from last month's final reading and close to expectations. This index gives us an indications of consumer willingness to spend. Since it nearly matched forecasts we can consider the data neutral for mortgage rates.Next week has several events that we need to watch, including some important economic data. Fed Chairman Powell also speaks in front of Congress next week that will certainly draw plenty of attention. The bond market will be closed Monday for the Veterans Day holiday, but stocks will be open for trading. Look for details on all of next week's activities in Sunday evening's weekly preview.If I were considering financing/refinancing a home, I would....Lock if my closing were taking place within 7 days...Lock if my closing were taking place between 8 and 20 days...Float if my closing were taking place between 21 and 60 days...Float if my closing were taking place over 60 days from now...This is only my opinion of what I would do if I was financing a home. It is only an opinion and cannot be guaranteed to be in the best interest of all/any other borrowers.**http://www.hlmcolorado.com/DailyRateAdvisory
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