Rate Update for July 18, 2008

Mortgages rates are slightly higher for a 3rd straight day.

Since July 15th the stock market has rallied by over 4%. This rally has pressured mortgage-backed bond prices lower by 188 basis points. Below is a chart showing mortgage backed bond prices over the past 6 months.

Mortgage-backed bonds are currently trading at recent support levels which mean we may see some stabilization to prices and possibly even a reversal. We are shifting our outlook to a cautiously floating stance in the hopes that this layer of technical support will help rates move back down.
Current Outlook: floating

The views and opinions expressed in this site are those of the author(s) and do not necessarily reflect the official policy or position of Cherry Creek Mortgage Co., Inc. This is for informational purposes only. This is not a commitment to lend.