This year has been crazy for mortgage rates. With most of the moves being up instead of down. Yesterday we finally saw the bond market have a day to make mortgage rates move down. Yay!
The day didn’t start out that way. In fact, mortgage rates started the day near their highest level ever. But by early afternoon, the bond market rallied and mortgage rates started moving down. There were some big losses in the stock market and the oil market, which moved money from stocks into bonds. And the Fed made some friendly comments to spark some more buying for bonds. When traders are buying more bonds than they are selling, the prices for bonds rise and mortgage rates go down.
By the afternoon there was enough movement that most lenders did a re-price and lowered rates. And so far this morning they are holding. Fingers crossed!