Mortgage Rate Trend Index Down: Nov. 30, 2016
Will rates go up, down or remain unchanged?
Branch manager, Sierra Pacific Mortgage, White Marsh, Maryland
As I write this, Treasury yields and mortgage rates are rising on news that OPEC has agreed to oil production cuts. This is sending crude oil higher, which should add to increasing inflation expectations. Rates are creeping higher as a result. I don't expect that this spike will last, as Treasury yields are already the most oversold in years. I expect a slight rally in the coming week leading to slightly lower rates.
Senior loan officer, AMC Lending Group, Irvine, California
Last week, 10-year yields got to 2.38 percent, Tuesday pricing was 2.29 percent and Wednesday pricing was battling at 2.38 percent again. This has been an epic battle post the key break above 2.27 percent on the 10-year, we haven't had much selling after that close at 2.34 percent. However, the market doesn't want to buy bonds or sell off bonds, either, in a meaningful manner.