Monday, April 2, 2018

Mortgage Rates Begin April Near 2-Month Lows; Construction Spending Stalls

Mortgage rates moved lower today as underlying bond markets generally followed a much bigger move in stocks. It's a common misconception that stocks and bond yields ("rates," for all intents and purposes) follow one another. They certainly CAN move in the same direction at the same time during certain times of the day, but it's not the sort of correlation to count on. That said, the stock/bond relationship was certainly a factor today. The only catch was that it took quite a bit of stock market weakness to generate a merely noticeable move in bond markets and, hence, interest rates. Still, with rates already fairly close to recent lows and with lenders generally holding back ahead of the extended holiday weekend, all it took was that modest improvement in bond markets for mortgage rates to

from
http://www.mortgagenewsdaily.com/reports/newsletter/2018/4/2/3297

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