Mortgage Rates Predictions

  June 13, 2008 | Mortgage Rates are trying to come down…

CPI reported worse than expectations signaling even more inflation.  Consumer Sentiment in June was a horrible 56.7!  Mortgage Bonds are were all over the place this morning and currently set +31bp @ 100.03.  Hopefully we have seen the floor for Mortgage Backed Securities and we begin the “leash effect” pulling Mortgage Bonds back to a decent level.  We have seen a -235bp loss in the 6.0% Fannie Mae Mortgage Backed Bonds in 8 days of trading!