Mortgage rates are slightly better again today but we need to be cautious because mortgage-backed bonds are trading sharply lower this morning.
Last month the all-important jobs reported disappointed investors and seemingly ignited a month long trend of weaker than expected economic data. Bad news for the economy is often good news for mortgage rates and we currently find ourselves with historically low rates again.
This morning, the all-important jobs report beat expectations. According to the data 154,000 private sector jobs were created last month pushing the unemployment lower to 9.1%. Investors had been bracing for another weak report after a month of uncertainty and poor economic news.
Both stocks & bonds are trading lower this morning threatening to push mortgage rates higher. I’ve been in a floating position for the past week and am going to shift to a locking recommendation.
Current Outlook: Lock!