Market Analysis

The 10 Yr US Treasury bond was down in price, higher in rate today, but Fannie Mae and Freddie Mac mortgage-backed securities were slightly improved.  There was no major economic data released today and no major reports are on the calendar for this week.  As such, other factors will move the bond market such as the performance of the stock market and current events.   This week a large number of S&P 500 companies are reporting quarterly earnings and investor's actions based on these earnings will be very interesting to watch.  If earnings are weaker than projected, will investors see the glass 1/2 full and assume we are bottoming out?  Or will the stock market take a turn for the worse with investors again becoming pre-occupied with fears of a deeper economic downturn than is currently priced into equity prices.  Our recommendation for today at least is to hold off on locking to see whether we can squeeze out some additional improvement in rate.    However, we believe you should be ready to lock quickly should the market switch directions.   While we may get some relief from profit taking in the stock market after the recent run up (selling in the stock market should be supportive of slightly lower mortgage rates),  there is also a chance we will see mortgage rates turn back and continue their march higher due to continued concerns about inflation as the price for gas at the pump exceeds $3.50 per gallon in many parts of the country.     If you think you may want to use Iron Harbor, we recommend having your loan set up and ready to go with us so that we can get your loan locked asap once you decide to use us.  The first step with Iron Harbor is to be pre-approved.  You can access a short application form at http://www.ironharbormortgage.com/xSites/Mortgage/IronHarbor/Content/UploadedFiles/Iron%20Harbor%20Short%20Application.pdf
Posted by Matthew Breston on April 21st, 2008 9:56 PMPost a Comment (0)
Recent Posts:
Archive:
My Favorite Blogs:
Sites That Link to This Blog:

Broker NMLS #249828  Company NMLS #349828      Equal Housing Lender

 


Iron Harbor Mortgage, L.L.C. 815 Brazos, Suite 705 Austin, TX 78701
Phone: Fax:

Contact Us | Common Questions | Today's Rates | BBB Report Lookup | Loan for Purchase | Video Testimonial | Credit Report Errors | Privacy Policy | Loan Application | Loan Process | Market Analysis

Copyright © 2012 Iron Harbor Mortgage, L.L.C.
Portions Copyright © 2012 a la mode, inc.
Another XSite by a la mode, inc. | Admin Login| Terms of Use| Site Map