Mortgage Rates Falling Quickly to Lowest Levels in Weeks

It’s no secret that mortgage rates had a rough month in March and a rough year in general.  The average lender raised 30yr fixed rates by roughly half a percent in February and March alone.  But April has proven to be an entirely different sort of month so far.  In the past 2 weeks, rates are down nearly a quarter of a point on average.  Today played a critical role in the improvement as lenders responded in waves to an exceptionally strong day for the underlying bond market (bonds are the primary driver of day-to-day rate fluctuations).
One of the most interesting things about today’s move was that the bond market improved AFTER a slew of significantly stronger economic data.  That’s interesting because the quintessential reaction function in the bond market is exactly the opposite!  In other words, stronger data tends to hurt bonds and push rates higher. …(read more)Forward this article via email:  Send a copy of this story to someone you know that may want to read it.
Source: mortgagenewsdaily.comNew feed