Rate Update August 10, 2010

Mortgage rates are unchanged today.

All eyes are on the Fed today.  The Fed will meet for a one-day monetary policy meeting and release their policy statement later on.  In the midst of a soft economic climate the markets are hoping that the Fed will step up and provide additional stimulus.  However, real short-term and long-term rates are already near zero so it doesn’t seem as though interest rates is the problem.

I don’t expect the Fed to announce anything new today which may pressure rates slightly higher.

I will shift to a locking position in the near-term.

Current outlook: locking near-term