Market Insider

Mortgage and Lending with Senior Loan Officer at US Bank Home Mortgage NMLS # 273204



Market Insider

Some weakness early this morning; the bond and mortgage markets trading slightly worse after another attempt to break 3.10% on the 10 yr note yesterday. Yesterday the 10 yr made another attempt to push below its resistance, just couldn't make it although it did decline 2 basis points with mortgage rates unchanged on the session. Yesterday the bond market had support from continued uncertainty about Europe's debt problems in the "infamous five" countries facing potential defaults. The weaker stock market yesterday also kept safety moves into treasuries alive. 

The bond and mortgage markets continue to carry bullish signals, but unless the 10 yr note can crack 3.10% soon most of our technical work will turn bearish. If that happens we don't expect a major increase ion rates but the near term could push the 10 yr note up to 3.25% and mortgage rates up 8 to 10 basis points; in the meantime we have little reason to turn bearish---just an increase in caution at the moment.


Comments (2)

Dan Edward Phillips
Dan Edward Phillips - Eureka, CA
Realtor and Broker/Owner

Good Morning Jon, thanks for an excellent market report.  Summit Funding is an excellent organization!(Jean Loosemore just moved to your organization in Susanville, and I have worked with her for many years in California.)

I still have my Oregon Principle Brokers Licensee and will keep track of you for future needs in Oregon.

Best wishes on the completion of the challenge!

May 24, 2011 04:49 AM
Connie Harvey
Pilkerton Realtors - Brentwood, TN
Realtor - Nashville TN Real Estate

Jon, Thanks for keeping this front and center for us. I keep encouraging Buyers to buy while the rates are so good.

May 24, 2011 10:53 AM