Mortgage Rates News!

What's Happening with Mortgage Rates:

If you've been watching the mortgage market lately, you might have noticed things have been a bit sleepy. That's because mortgage rates are closely tied to the bond market, and for the past couple of weeks, bonds have been exceptionally calm. While this doesn't guarantee a predictable seasonal pattern, it often means that August is a time for minimal volatility and little in the way of major movement.

The lack of action is particularly noticeable when you look at the bigger picture. Mortgage rates have been trading in a very tight range, even tighter than the wider bond market. For example, the 10-year Treasury yield, a key benchmark for mortgage rates, has bounced back significantly since the big dip after the August 1st jobs report. Mortgage rates, however, have barely budged. While the 10-year yield has regained over half of its post-jobs report decline, mortgage rates have only recovered a quarter of theirs.

This "quiet period" is likely to continue for the immediate future. There are no major economic reports or events scheduled that are expected to shake things up until at least Friday. This means that while rates could still move, they're not facing any major threats that would typically cause a significant shift. In short, expect the current trend of low volatility to continue, at least for now.

Summary:

Mortgage rates have been remarkably stable recently, reflecting a calm period in the bond market. While benchmark Treasury yields have moved up notably, mortgage rates have remained in a very tight range, recovering only a small fraction of their post-jobs report decline. This low-volatility trend is expected to persist this week due to a lack of significant scheduled events.