Mortgage-backed bonds are testing the 50-day moving average again today. On Monday we hit the 50-day moving average and bounced higher which helped rates move modestly lower. If we can bounce higher again we should see rates improve. However, we remain concerned about the strength of the 50-day moving average as a support level. Should […]
This may be a little technical for most folks but this article explains that the curretn spreads between US treasury bonds & mortgage-backed bonds (MBSs) are extremely high. If we get some confidence back in the credit markets we should see this spread narrow which would send mortgage rates lower. From WSJ.com: Bond, Loan Markets […]
The purpose of this article is to give consumers a guide for determining whether or not a proposed refinance makes financial sense for them. Through my interactions with many of my clients over the years I’ve found that much of the population is left confused when evaluating mortgage refinance options. I hope that I can […]
More weak economic data and positive technical trading patterns have helped mortgage rates this morning. The gain in mortgage rates may be short lived however as two prominent Fed officials are scheduled to speak later today. We know that inflation remains a primary concern for the Fed and any mention of inflation in their speeches […]
Weak economic data as well as technical support has helped stabilize mortgage rates this morning following yesterday’s increase. Among the weak economic news was the Conference Board’s Consumer Confidence index which showed that consumers are less confident that previously thought. Furthermore, the S & P Cash-Shiller Home Price Index report showed price declines in all […]
For most of our clients, the idea of a “no closing cost” (NCC) refinance seems too good to be true. We think that these loans are great tools for helping our clients save money; but it is critical that our clients understand how they work. The purpose of this posting is to explain how we […]
Last Thursday we identified that mortgage-backed bonds were trading up against strong technical resistance and that we’d likely see mortgage rates move higher. Indeed that pattern is playing out this morning as mortgage-backed bonds fall under selling pressure. Adding to the pressure is strength in the stock market after news broke that JP Morgan Chase […]
The Economist has done an excellent job covering the credit crisis. In this weeks issue they have a 10-page briefing on various issues surrounding the credit markets, currency exchange, & central bank intervention. All of these issues stand to effect the direction of mortgage rates as well as credit tightening in our industry. If you […]
If at first you don’t succeed Mar 13th 2008 From The Economist print edition THIRD time lucky? The credit markets almost seized up in August, December and again this month and on each occasion the Federal Reserve has led a rescue attempt. Its latest effort led to a bout of euphoria on Wall Street, with […]
The financial markets are closed today for Good Friday. Current Outlook: Locking