5 August 2009 – Today the bond market opened down 31 bps. On Monday and Tuesday combined the bond market was down a total of 94bps. The bond market then bounced back due to a weaker ISM report (46.4 versus the expected 48). Also more job losses were reported, expectations were for job losses to come in at 350,000 and actual number was 371,000. These reports helped to correct the bond market and this was sorely needed. The bonds are now currently up 19bps for the day, which is a gain of 50bps since the open this morning. The Treasury announced a $75 billion auction next week, again too much supply versus the demand for these auctions continues to weigh on the bonds. At some point higher yields will have to be paid to continue to attract buyers and this is when we will see the mortgage rates rise. Again the 30 year fixed for the well qualified buyer would be around 5% to 5.125%. The 15 year fixed rate would be at 4.5% to 4.625%.Email This Post To a Friend.
Today’s Mortgage Rates Remain at 5% to 5.125% For Well Qualified Buyers
August 5, 2009
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