Updated on April 6, 2020 10:13:41 AM EDT
There is nothing of relevance scheduled for release today. We are seeing a traditional move in bonds where they move in opposite direction of stocks. With stocks rallying, bonds are weaker, pushing yields higher this morning. Fortunately, mortgage bonds are not following Treasury bonds at the moment. That is helping to prevent a larger increase in today’s mortgage rates considering most of today’s increase in rates is a result of weakness late Friday.
Tomorrow and Wednesday morning also do not have anything scheduled that we need to be concerned with. The rest of this holiday-shortened week brings us the release of three-monthly reports and one weekly release in addition to a couple of potentially influential Treasury auctions and the minutes from last month’s FOMC meeting. The bond market will close early Thursday and remain closed Friday for the Good Friday holiday. Stocks are open all day Thursday but will also be closed Friday.
Overall, there is no point is labeling any day as most or least important based on economic releases. While current reports are drawing more attention in the markets than last month’s releases did, they still are not a driving force nor are they directly affecting mortgage rates. None of this week’s reports are likely to be market movers either. We should expect another active week for the markets and mortgage rates, so proceed cautiously if still floating an interest rate and closing in the near future.
©Mortgage Commentary 2020