Mortgage rates joined many other sections of financial markets late yesterday in doing almost absolutely nothing.  Both stocks and bonds were almost perfectly flat.  Neither was overly interested in responding to economic data or Round 2 of Fed Chair Powell’s congressional testimony.  That’s not too surprising considering today’s economic data wasn’t hotly anticipated and Powell would have been hard-pressed to say something we haven’t already heard him say several times (he was in the hot seat yesterday as well as last week after the Fed Announcement).

Beyond that, financial markets know the Fed is committed to keeping rates low for quite a while.  Although they don’t control mortgage rates, their bond buying programs definitely help rates remain much lower than they otherwise would be.  All that to say, it’s no surprise to see an absence of big changes today.

What’s needed in order for that to change?  COVID-19 news!  The bigger the news, the bigger the potential market reaction.  Better yet, Coronavirus developments that are accompanied by logical economic data developments would be an even bigger deal. Caution!  Have loan questions? Give Dan a call at 866-310-1112! Be safe and keep charging!