Mortgage Rate Update November 28, 2016

Mortgage rates are effectively unchanged from last week.

Although there is no significant economic data out today the next few days will bring plenty of important data points.  Tomorrow we’ll get the latest reading of the Case-Shiller Home Price index and Q2 GDP.  On Wednesday we’ll see pending home sales, personal income, and the Personal Consumption Expenditure price index.  On Friday we get the all-important monthly jobs report.

As we know interest rates have risen sharply since the election and the technical trading patterns in the interest rate markets suggest we may be in for a brief reversal.  After reaching a multi-year high on Wednesday the yield on the US 10-year treasury note has bounced lower and I think it will move towards ~2.20%.

Assuming this happens I would expect mortgage rates to improve by .125% compared to current levels.

Current Outlook: floating