Mortgage Rates July 21, 2017

Mortgage rates for July 21, 2017 are set to start the day at similar levels seen on Thursday.  There are no major economic reports scheduled today as the bond market looks for direction.  The 10y yield opened the day at the 2.24% level and the 30 year FNMA 3.5 coupon was at the 102.95 level. For the most part 30 year fixed mortgage interest mortgage interest raterates are below 4.00%, 15 year fixed rates are below 3.25% and 7/1 ARM rates are below 3.50% (conforming, zero points).

Yesterday we had the big ECB meeting and Mario Draghi press conference afterwards and the general feeling was the ECB decision and press conference were bond friendly.  You might remember that a few weeks ago Mario Draghi send bond yields higher, Bund yields doubled (German bonds) and the 10y yield went the 2.12% level to the 2.39% level.  The best mortgage rates moved higher from their 2017 lows as lenders were caught off guard by the comments made by Draghi.

There are a decent amount of economic data reports next week along with an important FOMC meeting which starts on Tuesday with a decision on rates on Wednesday.  On Monday we have Existing Home Sales, on Tuesday we have CaseShiller and Consumer Confidence.  On Wednesday we have the MBA Purchase, MBA Refinance index, New Home Sales and the FOMC rate decision.  Thursday we have Durable Goods and on Friday we have Employment wages and University of Michigan Sentiment reading.

Obviously the biggest thing next week is the FOMC meeting and what comes out of that meeting.  No one is expecting them to raise rates again however investors are looking for indications what the Fed might do over the following 3-6 months.

If you are looking to refinance your current mortgage or purchase a new home please be sure to contact us directly at 1-800-550-5538 for a no cost – no obligation quote.  We offer industry low mortgage rates, top notch customer service and cover the entire state of California.