Mortgage Rate Trend Index Down: June 30, 2016
Will rates go up, down or remain unchanged?
Senior loan officer, RPM Mortgage, San Francisco
Both the daily and weekly techs of the 30-year Treasury bond future are bullish (higher prices, lower yields and rates.) Volatility is so extreme that it is difficult to tell what will happen short-term. I believe that we will see the 10-year Treasury yield below 1.25% this year.
Assistant managing editor, Bankrate.com
At times like this, the difference gets bigger between the 10-year Treasury yield and rates for the 30-year, fixed-rate mortgage. As Treasury yields remain in near-record territory, mortgage rates will gradually sift farther down, too.
Loan officer, Macoy Capital Partners, Los Angeles
The 10-year Treasury is currently at 1.47% and has fallen quickly, of course due to Brexit. While there are a number of factors that have driven the 10-year below the critical 1.50% mark, the big one is fear and uncertainty in world markets, which means huge amounts of money flow into Treasuries, pushing down the rates. That worldwide demand for Treasuries is not going to subside anytime soon. While the effects of the Brexit remain to be seen over next few months if not years, one thing is for sure; the Fed nor the market are going to be raising rates for the rest of this year.