Mortgage Rate Update April 12, 2011

Interest rates are unchanged from yesterday but as of this morning the closing costs to obtain those rates are slightly less.  Treasuries are rallying a bit this morning on news that Japan has elevated the condition level on its nuclear sites from 5 to 7 (7 being the same level as Chernobyl in 1986).  Although officials say that the level of radiation is much lower than that of Chernobyl, the market is still experiencing a flight to safety on the news.
The equity market is currently trading lower by 123 points as Alcoa and Cisco earnings are not making analysts happy during the first days of earnings season.  Follow this link to see how the stock market impacts mortgage rates.

In light of today’s market activities I am shifting my locking position to neutral to see if we can break through the level of support that has recently become the new ceiling in the past few days.
Current Outlook: neutral