Rate Lock Advisory

Friday, September 22th

Friday’s bond market has opened in positive territory, erasing yesterday’s afternoon weakness. Stocks look to close the week quietly with the Dow and Nasdaq both nearly unchanged from yesterday’s close. The bond market is currently up 9/32 (2.24%), nut afternoon weakness yesterday will likely prevent an improvement in this morning’s mortgage rates. If your lender did revise higher late Thursday, you should see an improvement this morning by the same amount.



30 yr - 2.24%







Mortgage Rate Trend

Trailing 90 Days - National Average

  • 30 Year Fixed
  • 15 Year Fixed
  • 5/1 ARM

Indexes Affecting Rate Lock



Fed Talk

There is nothing of relevance being posted today that has the potential to affect mortgage rates. There are a couple of Fed member public speaking engagements set that may affect the markets if they bring any surprises. However, none of the topics are expected to bring too much attention. Therefore, they are not of concern.



Geopolitical/Financial Issues

What we are seeing some reaction to is overnight rhetoric from N. Korea about possibly testing a nuclear bomb over the Pacific Ocean rather than within its borders. That threat seems to carry some legitimacy in the markets, helping to boost bonds this morning. Whether or not they actually follow through on that threat remains to be seen. However, if they do, the bond market should react favorably.




Next week brings us the release of a handful of economic reports that are likely to affect bond trading and mortgage rates in addition to a couple of Treasury auctions. None of them are scheduled for Monday, so expect to see weekend news and possibly stock movement to be the biggest influences on mortgage rates as the week starts. Look for details on all of next week’s activities in Sunday evening’s weekly preview.

Float / Lock Recommendation

If I were considering financing/refinancing a home, I would.... Lock if my closing was taking place within 7 days... Lock if my closing was taking place between 8 and 20 days... Lock if my closing was taking place between 21 and 60 days... Float if my closing was taking place over 60 days from now... This is only my opinion of what I would do if I were financing a home. It is only an opinion and cannot be guaranteed to be in the best interest of all/any other borrowers.