Mortgage Rate Update April 10, 2012

Mortgage rates are unchanged today..

Yields on Spanish and Italian government bonds rose again overnight furthering concerns about the European debt crisis.  Meanwhile, traditional “safe-havens” such as Germany and the US are experiencing the lowest rates in the past few weeks.

US stocks are starting the day lower as 1st quarter earnings season kicks off.  If a majority of corporations report weaker than expected profits or give negative guidance on future profits then I would expect rates to continue to improve.

The US Treasury will auction $32 billion in 3-year notes later today.  It is expected to draw ample demand so I don’t think it will impact mortgage rates.

Current Outlook: floating