Florida Mortgage Rates – Morning Report

by Florida's #1 Mortgage Planner on May 4, 2009

Locking Stance: LOCKING   Mortgage Bonds:  0bp

Once again, I find myself trapped in an airplane today and unable to report if needed beyond this morning’s report.  Heck, this report may end up being changed since I cannot access the internet from the airplane again this morning.  If it does, I will add a notation at the bottom.

I did set up my weekly update at Lenderama, which was posted this morning, so don’t forget to check it out.  Overall, I expect mortgage bonds to do a short term improvement, followed by a downside breakout, which will send mortgage rates higher.    There is not much activity today beyond Treasury Auctions and some Fed speeches, which themselves could affect the markets some, though I expect MBS pricing to remain wedged between their 25-day and 50-day moving averages.

What does this mean for Florida Mortgage Rates?  Mortgage rates may remain steady today, even improve slightly, but the overall outlook remains favorable for higher mortgage rates at the moment.

 

Update:  As luck would have it, I could not establish the internet connection in Bolivia again this morning, so the above did not get posted earlier.  Here is a quick rundown…

The day went much like expected, with MBS pricing improving yet remaining within their trading range.  The move higher was even with stocks improving, which is good.  Treasuries’ yields are back on the rise, which will add to MBS pricing pressures moving forward and Pending Home Sales were higher.  Banks having manageable capital sparked the stock rally.  Overall, as I said before, the move was expected, with a retest of the 25-day moving average to come.  Beyond that, I still feel mortgage rates will be on the rise as the data begins to flow and supply floods the markets.

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