Mortgage Rate Update October 29, 2012
Although mortgage note rates are unchanged this morning the pricing for these rates is modestly better.
If you’re reading this post from a work computer then you may be the only person working in the entire country (slight exaggeration). The east coast is bracing for Hurricane Sandy and San Francisco is celebrating their 2nd World Series Championship in 3 years.
The stock market is closed and the bond market will close at noon eastern today so mortgage-backed bonds will not trade this afternoon. There is talk that financial markets will remain closed tomorrow.
Some analysts are comparing the potential damage of Hurricane Sandy to that of Katrina. I hope and pray not.
At this point I don’t see mortgage rates changing in the next 24-48 hours. After that, should the storm cause significant damage it could actually cause rates to fall modestly. Conversely though, if the storm passes with out too much pain rates could actually move slightly higher.
All the while Spain remains silent in asking for a bailout and the election looms next week.
Current Outlook: neutral