Mortgage Rate Update July 28, 2011

Posted on by Evan in Rate Update

Mortgage rates are unchanged this morning.

It’s starting to feel like Groundhog’s Day in the interest rate markets.  Rates are unchanged today despite  significant economic data as investors continue to focus squarely on debt negotiations in Washington DC.  

The House of Representatives will vote on Speaker Boehner’s plan late this afternoon.  It is yet to be determined if he has the 217 votes necessary to pass the bill.  If it does pass it will head for the Senate where majority democrats are expected to make significant amendments.  The interest rate markets still believe that the US will pass a bill in time and avoid default.

We got good news from the jobs markets this morning.  Weekly jobless claims fell by more than expected last week which has helped stocks eek out gains in early trading.  The US Treasury is set to auction final the $29 billion of this week’s $99 billion in debt supply.  As you might expect demand has not been as strong as in recent weeks but rates haven’t responded.

Current Outlook:  locking bias

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