This is some finance market info, i thought everyone should know.  So you can be an expert to your clients.  The FNMA 30yr bond drives mortgage prices, it is the primary cost associated with standard bank mortgages.

We have an excellent finance group that tracks the bond market for us.  

So far rates have worsened 6 of the 7 days.  Although everyone got good news from the fed, that their rates were holding at 5.25%, the notes from the fed meeting showed a strong concern for inflation and little concern over the health of the economy. 

The economic date released since then shows that employment is up and the overall economy is strong.  

What's the big deal? The rate ceiling (maximum rates for a standard 5% down mortgage) we have seen for many months of was annihilated by the market. 

Per Freddie Mac "Freddie Mac (NYSE:FRE) today released the results of its Primary Mortgage Market Survey® (PMMS®) in which the 30-year fixed-rate mortgage (FRM) averaged 6.42 percent with an average 0.4 point for the week ending May 31, 2007, up from last week when it averaged 6.37 percent.  Last year at this time, the 30-year FRM averaged 6.67 percent."

We expect this to go up to  shortly.  these numbers are from freddie mac and are not a loan quote.

This is a 0.3% rate worsening from a week ago.   

So warn your clients, to lock their rates to avoid the market shift.