The markets are eagerly awaiting the Fed’s announcement which is scheduled to be announced at 2:15PM EST. Analysts expect that the Fed will cut short term rates by an additional .25%. As we’ve mentioned throughout this rate cutting cycle the Fed’s rate cut in and of itself will not move the markets. What could drive […]
Mortgage-backed bonds are trading modestly higher this morning pushing 30 year rates slightly lower. Watch today’s you tube video to understand what we’ll be listening for in tomorrow’s Fed announcement. From a technical standpoint mortgage-backed bonds are trading against a ceiling of resistance. This means that all else being equal we’d expect prices to fall […]
In evaluating a loan application to determine whether or not an applicant qualifies for a mortgage lenders look at four areas. These four areas are known as the “Four C’s” and stand for: 1) Credit 2) Capacity 3) Capital 4) Collateral Here is a summary of each “C” and how they impact the loan approval […]
We don’t expect a lot of volatility until tomorrow afternoon when traders begin to position their portfolios ahead of an action-packed Wednesday, Thursday, & Friday. Watch today’s you tube video to find out what is on the schedule that could impact mortgage rates this week. Current Outlook: neutral
Mortgage rates continue to increase thanks to momentum in the stock market. Mortgage rates have increase .25%-.50% across the board this week because of better than expected earnings reports. We’ve explained in the past on ‘rate update’ that mortgage rates often suffer from a rally in the stock market because fund managers have to sell […]
We thought that bond prices may hold at the 50-day moving average yesterday as they had the last four times that they tested this level. However, the stock market rally was too strong which pushed rates higher again. Here is a chart which shows pricing dropping below the 50-day moving average (black line): From a […]
Here’s an article I read recently: During my twenties, I accumulated nearly $25,000 in consumer debt. I had a spending problem. With time, I was able to get my spending under control (mostly), but I still owned overwhelming debt. How could I get rid of it? The personal finance books all suggested the same approach: […]
30 year fixed rates are higher again this morning. Watch today’s you tube video to understand why rates have been pushed higher. We’re closely watching technical trading patterns again as mortgage-backed bonds trade up against the 50-day moving average price line. Current outlook: Cautiously floating
Rates are slightly higher across the board this morning. Two things are working against mortgage rates. First, as I mentioned in yesterday’s ‘rate update’ video we are in the heart of earnings season and a rally in the stock market could put upward pressure on mortgage rates. This is what is happening this morning after […]
It will be a busy week for economic data to be released. This morning we started the week off with the government releasing the monthly retail sales report. The report showed that retail sales in March were higher than what analysts had expected. Furthermore, the report revised February’s retail sales figure higher. Ordinarily this would […]