Published Date 10/4/2022
Conventional and Government (FHA and VA) lenders set their rates based on the pricing of Mortgage-Backed Securities (MBS) which are traded in real time, all day in the bond market. This means rates or loan fees (mortgage pricing) moves throughout the day, being affected by a variety of economic or political events. When MBS pricing goes up, mortgage rates or pricing generally goes down. When they fall, mortgage pricing goes up.
Mortgage rates are moving slightly lower today. The MBS market improved by +58 bps yesterday. This was enough to decrease mortgage rates or fees. The market experienced high volatility yesterday.
Jobs: The August (old data) Job Openings and Turnover Survey (JOLTS) was lighter than expectations (10.053M vs. est. of 10.45M). This is a smaller amount than July's 11.17M but its still a VERY LARGE amount of open positions. Generally anything above 7M is considered quite high.
Manufacturing: Factory Orders has followed the trend of weaker than expected manufacturing data, coming in flat at 0.0 vs. est. of an expansion of 0.3%.
Central Banks: No Thunder from Down Under. The Reserve Bank of Australia surprised the markets by raising their key interest rate to only 2.60% vs. a widely expected hike to 2.85%.
This morning markets continue to see mild support. Volatility is relatively high as markets continue to trade on speculation.
If you are looking for the risks and benefits of locking your interest rate in today or floating your loan rate, contact your mortgage professional to discuss it with them.
Source: TBWSAll information furnished has been forwarded to you and is provided by thetbwsgroup only for informational purposes. Forecasting shall be considered as events which may be expected but not guaranteed. Neither the forwarding party and/or company nor thetbwsgroup assume any responsibility to any person who relies on information or forecasting contained in this report and disclaims all liability in respect to decisions or actions, or lack thereof based on any or all of the contents of this report.
NMLS: 376247
470 OLDE WORTHINGTON RD, WESTERVILLE, OH 43082
470 OLDE WORTHINGTON RD,, WESTERVILLE OH 43082
Company NMLS: 796590
Office: 614-578-1623
Email: atiba@orefc.com
Web: http://www.orefc.com
NMLS: 376247
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