Florida Mortgage Rates – Morning Report

by Florida's #1 Mortgage Planner on August 7, 2008

Locking Stance:  CAUTIOUSLY FLOATING     Mortgage Bonds:  +16bp

Mortgage backed securities got a lot of good news this morning, so we should be seeing better pricing and a potential slight drop in mortgage rates today, possibly continuing into tomorrow.

The last report of the month, Initial Jobless Claims, was greater than expected this time, placing the focus back to a weakening economy, which is good news for mortgage bonds.  Adding to the aid of MBS, Wal-mart and AIG had disappointing earnings and the Bank of England and European Central Bank left their rates (equal to our Fed Funds Rate) unchanged.

All in all, this should be a good day for bonds and they could run back up and test their resistance layer(s).  Since there is no more data this week, the momentum could carry into tomorrow unless news comes out to halt that momentum.

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