Rate Update September 3, 2010
Mortgage rates are worse this morning.
As I eluded to in yesterday’s ‘rate update’ this morning’s jobs report is pressuring mortgage rates higher. This morning’s Bureau of Labor Statistics report showed that overall the economy lost 54,000 jobs in August. However, when you back out the impact of the temporary US census workers private sector employers added 67,000 jobs which was better than expected. This is good news for the economy and bad news for mortgage rates.
This morning’s jobs report is providing temporary enthusiasm in the markets. Stocks are trading higher and bonds are lower. However, I think most analysts still share a cautious view for the future.
From a technical standpoint mortgage-backed bonds are still trading above technical support which is a good long-term sign. Hopefully you followed my advice yesterday and locked. If not, hopefully you have time to float into better rates.
Current outlook: floating long-term
Posted: September 3rd, 2010 under Rate Update.
Tags: sept 3 2010 jobs report and rates, sept 3 2010 lock or float, sept 3 2010 MBS, sept 3 2010 mortgage rate outlook, sept 3 2010 mortgage rates