The Home Loan Mortgage Blog

Weekly Update - 6/17/22

June 17th, 2022 11:09 AM by T. Fanning

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Hi, I hope you have a great Father’s Day weekend.

 

It was another ugly week for rates – all ended up from last week’s numbers. Next week has just a couple of moderately important economic reports for the markets to digest, mostly housing related, and a Treasury auction to watch. There is nothing of importance scheduled for Monday, but we could see weekend headlines cause volatility in bonds and mortgage rates as the new week begins.*

 

We offer Conventional, FHA, VA, USDA, Jumbo and regular construction financing. Some of our niches include: Chenoa Fund loans; FHA and VA 1x Close Construction-Perm; 1.50% Down FHA Advantage Program; CHFA Financing; HomeStyle renovation program; and a Jumbo, 5% down program. We also can do hobby farms, Ag properties and Non-QM (stated income, verified assets for self-employed borrowers)! To see a detailed list of programs, visit our website: www.homeloanmortgageco.com/mortgageprograms

 

As always, please let me know if I can help you, your friends/family/potential buyers/borrowers!


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Last Updated: 6/17/22

 

Friday's bond market has opened in negative territory after staging a strong rebound late yesterday to recover Thursday morning's sell-off. Stocks are showing gains of 67 points in the Dow and 119 points in the Nasdaq. The bond market is currently down 17/32 (3.26%), but that recovery late yesterday should allow this morning's rates to be a little lower than yesterday's early pricing. There is a strong possibility that you saw an intraday improvement in rates yesterday afternoon. The difference in this morning's rates depends on the size of the improvement late yesterday.

 

Fed Chairman Powell spoke at a conference early this morning but didn't say anything new that was of interest to the markets. He pretty much reiterated what was said Wednesday regarding the Fed's commitment to getting inflation back to their preferred 2.0% annual rate. We can label this event as a non-factor in this morning's trading.

 

May's Industrial Production data was posted at 9:15 AM ET this morning, revealing a 0.2% increase in output at U.S. factories, mines and utilities. This fell short of the 0.5% that was expected, giving us a sign that the manufacturing sector was running slower than thought last month. As a sign of weaker economic conditions, we can consider the data to be favorable for bonds and mortgage rates.

 

Closing this week's calendar was May's Leading Economic Indicators (LEI) at 10:00 AM ET. The non-governmental Conference Board announced a 0.4% decline in the index, matching forecasts. That decline means the indicators are predicting slower economic activity over the next several months, making the data good news for rates.

 

Next week has just a couple of moderately important economic reports for the markets to digest, mostly housing related, and a Treasury auction to watch. There is nothing of importance scheduled for Monday, but we could see weekend headlines cause volatility in bonds and mortgage rates as the new week begins. Look for details on next week's calendar in Sunday evening's weekly preview.

 

If I were considering financing/refinancing a home, I would....


Lock if my closing were taking place within 7 days...
Lock if my closing were taking place between 8 and 20 days...
Float if my closing were taking place between 21 and 60 days...
Float if my closing were taking place over 60 days from now...


This is only my opinion of what I would do if I was financing a home. It is only an opinion and cannot be guaranteed to be in the best interest of all/any other borrowers.
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*https://www.homeloanmortgageco.com/DailyRateLockAdvisory
                                                

Company NMLS ID: 479289 | LO NMLS: 208694

CO License: 100008854

FL Company License: MBR4416 | FL License: LO89221

 

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www.nmlsconsumeraccess.org

Posted by T. Fanning on June 17th, 2022 11:09 AM

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