Rate Update July 7, 2010

Mortgage rates priced slightly better this morning.

In the absence of key economic data mortgage rates are holding steady today.

Stocks are trading higher today in response to a positive outlook provided by State Street Bank.  Typically a rally in the stock market would cause mortgage rates to move higher but clearly there is a dichotomy in the market.  One school of thought forecasts a rosier outlook for economic growth and another school believes we are in a “new normal” that will provide lower returns in the coming years.

No matter what your view is mortgage rates remain near historic lows.  I wouldn’t expect a lot of volatility until next week when the economic calendar is full.

Current outlook: neutral

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.