Mortgage Rates moved moderately higher this week compared to last Friday. This was a logical outcome based on steady weakness in the bond market. While the moves aren’t extreme in the bigger picture, they do push rates and pricing .125% higher depending on the product (think 30yr vs 15yr)
There weren’t any compelling economic reports to justify today’s bond market volatility. In terms of headline news, a case could be made that Biden’s $6 trillion budget spooked bonds a bit. Why would that be the case? Simply put, money spent by the government must come from revenues or Treasury issuance. The latter increases the “supply” side of the equation in the bond market.
SOURCE & AUTHOR |
Keith Murphy Branch Manager – Essex Mortgage NMLS #330827