Mortgage rates are improved to start the week.
In case you missed it Greek voters chose to reject additional austerity measures over the weekend which takes Greece and the Euro Zone into uncharted territory. From here there is uncertainty regarding how this gets handled. Can a deal still be struck between Greece and its creditors? Or will Greece be forced to abandon the Euro? Uncertainty is bad for the stock market and tends to be good news for US interest rates. I expect the Greek story to continue to be a very fluid situation which means potential volatility for rates.
The economic calendar is relatively light this week. The highlights include minutes from the last Fed meeting (Wednesday), a US 10-year treasury note auction (Wednesday), and a speaking engagement for Janet Yellen (Friday). In the meantime I expect US interest rates to take direction from the Greek situation. Greater uncertainty and fear should help pressure mortgage rates lower and vice versa.
For now we can begin the week by floating.
Current Outlook: floating