Mortgage Rate Update June 3, 2011

Mortgage rates are unchanged this morning.

After increasing modestly yesterday afternoon mortgage rates have reversed back to multi-month lows following a weaker than expected government jobs report (click HERE to understand how this report influences mortgage rates).

This morning’s jobs report from the Labor Department showed that the economy only added 54,000 jobs last month (private sector added 83,000).  At the beginning of the week expectations had been for about 200,000 new jobs and following Wednesday’s weak ADP payroll report the market ratcheted expectations lower to around 120,000.

Bad news for the economy is often good news for mortgage rates so we’ll float.

Current Outlook:  Float