Mortgage backed securities (MBS) closed down 6 basis points today at 104.38 having remained 25 basis points above support offered by the 200 day moving average. MBS bonds remain at the high end of their trading range. Borrowers would do well to lock in these great mortgage rates while they last. For purchase transaction, both conforming and jumbo 30 year mortgage rates are at 3.625%.
Two days earlier, Mortgage backed securities (MBS) closed up 31 basis points at 104,56 today having further distanced themselves from support offered by the 200 day moving average. Low inflation numbers contributed to the rising bonds helping keep mortgage rates low. The yield of the 10 year Treasury was just barely above 2.00 as 30 year rates held at 3.625%.
Stock Edge Upward as Fed Awaits Change
Stocks, on the other hand, began the trading day with almost immeasurable gains. During this reporting season it seems that many stocks are beating estimates on earnings per share but falling short on revenues. Big Board stock GE continued that trend. While the FED is waiting for inflation to stabilize and the economy to grow, it seems stocks are calmly moving higher. The Dow closed up 74 points today.
By Jeff Jensen
Mortgage and Lending / Greenwich, CT
Office (203) 981-8282
Mobile (203) 981-8282