Initial Weekly Jobless Claims meet expectations

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Today's Mortgage Rate Summary

How Rates Move:

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.

Rates Currently Trending: Neutral

Mortgage rates are under mild pressure today. The MBS market worsened by -8 bps yesterday. This was not enough to increase mortgage rates or fees. The market experienced high volatility yesterday.

Today's Rate Forecast: Neutral

Housing: Weekly Mortgage Applications dropped by -0.8%. Refinances were down -1.9% and Purchases were basically flat at -0.3%

Jobs: Initial Weekly Jobless Claims were 239K versus estimates of 240K. The more closely watched 4 week moving average moved up to 234K. Continuing Claims were 1.716M versus estimates of 1.700M

Manufacturing: The August Philly Fed Manufacturing Survey was much better than expected, up 12 versus estimates of -10.

Today's Potential Rate Volatility: Neutral

This morning markets have been under pressure. Volatility has started at moderate levels with a narrow trading channel.

Bottom Line:

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: TBWS

All 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.

All loans are subject to credit approval. Interest rates are subject to change daily and without notice. Current interest rates shown our indicative of market conditions and individual qualifications and will vary upon your lock-in period, occupancy, loan type, credit score, purpose and loan to value and lending source. Income and mortgage proctection producst are subject to client's suitability and affordability (DOI Lic# 4334805). 

Jonathan Caguioa

Mortgage Advisor

NMLS: 250609 / DRE 01137630

Allianze Mortgage Services

15820 Whittier Blvd. Suite G, Whittier CA 90603

Company NMLS: 346138 / DRE 01403147

Office: 949-241-2527

Cell: 949-241-2527

Email: lenderguide@allianzemortgage.com

Web: https://mortgage2000.org/