Mortgage rates moved lower again yesterday, with the average lender erasing a good amount of the weakness seen last week. That’s good news considering rates hit all-time lows on the afternoon of June 1st (last Monday). After that, however, rates rose at their fastest pace in several months, raising some concern that the bond market (which underlies rates) was shifting gears in response to stronger-than-expected economic data.
It remains to be seen whether these past 2 days constitute a reversal in a negative trend or if they’re merely a token correction to last week’s rate spike. In other words, are things good or are they just noticeably less bad than they were? We won’t be able to answer this until we see how things play out in the coming days.