Although mortgage note rates are unchanged this morning the accompanying closing costs are slightly lower so in fact the rate environment has improved since yesterday.
It’s been only a week since we last focused on the European Debt Crisis and its making headlines again. Did you miss it? Yields on Spanish & Italian government bonds rose today after it was reported that economic activity across the Euro-zone declined for a 3rd straight month. Economic growth is necessary for cash-strapped Euro-zone countries to avoid default.
Furthermore, the Chinese government reported that manufacturing activity declined in March for a 4th straight month. Here at home weekly jobless claims declined again last week which is a good sign for the economy.
If concerns over the European debt crisis reemerge and grow more intense then clearly we’d expect mortgage rates to decline. It might not be a bad idea to float here and see if rates move lower.
Current Outlook: floating