Mortgage Rate Update July 14, 2014
Mortgage rates are more or less unchanged this morning.
US stocks are off to a hot start this morning responding to better than expected earnings from Citigroup. Good news for stocks is often a bad sign for mortgage rates.
It’s a fairly quiet news day today but there are some important events taking place later in the week. Tomorrow the latest monthly retail sales report will be released, on Wednesday we get a look at the Producer Price Index, and on Thursday we’ll see housing starts and building permits.
In addition, Fed chairwoman Janet Yellen is scheduled to testify in front of congress tomorrow and Wednesday. She will be delivering prepared testimony so we don’t anticipate any fireworks but sometimes during the question & answer session sparks can fly.
In case you don’t recall minutes released last week from the Fed’s last monetary policy meeting showed that they began to talk about raising short-term rates. Any additional clues on their timeline could move the markets.
From a technical perspective mortgage-backed bonds appear to be vulnerable. I am going to shift to a locking position.
Current Outlook: locking