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Mortgage Rates Drop to Lowest Levels in More Than a Week

Posted To: Mortgage Rate Watch

Mortgage rates moved lower at their best pace in several weeks today, with the average lender making it back to levels not seen since April 12th. The gains were bigger than normal for two reasons. First, bond markets had improved slightly yesterday afternoon, but not enough for lenders to adjust their rate sheet offerings for the better. Thus, they had to play a bit of catch-up with this morning's rate sheets. The bigger factor was the additional bond market strength seen throughout the overnight trading session and well into the domestic trading hours. In general, bond market "strength" means that bond prices are moving higher and bond yields (or "rates") are moving lower . Whereas trading values in the bond market change frequently throughout the day, the average mortgage lender tries to...(read more)