Rate Lock Advisory

Friday, August 7th

Friday’s bond market has opened in positive territory following mixed results in this morning’s big economic report. Stocks are showing early losses with the Dow down 110 points and the Nasdaq down 28 points. The bond market is currently up 2/32 (0.53%), which with a little strength late yesterday should improve this morning’s mortgage rates by approximately .125 of a discount point.



30 yr - 0.53%







Mortgage Rate Trend

Trailing 90 Days - National Average

  • 30 Year Fixed
  • 15 Year Fixed
  • 5/1 ARM

Indexes Affecting Rate Lock



Employment Situation

Today’s major economic release was July’s Employment report at 8:30 AM ET that showed 1.763 million new jobs were added back to the economy. It also showed that the unemployment rate fell from 11.1% in June to 10.2% last month. The payroll number was well within the range of forecasts while the unemployment rate came in a bit lower than the 10.5% that was expected. Because the payroll number was still high and the unemployment rate fell below expectations, we can consider the data neutral for mortgage rates.




Next week brings us the release of a handful of relevant economic releases in addition to a couple of Treasury auctions. Some of the data is considered to be highly important, including a consumer spending report at the end of the week. There is something scheduled each day that may move mortgage rates except for Monday. Look for details on next week’s activities in Sunday evening’s weekly preview.

Float / Lock Recommendation

If I were considering financing/refinancing a home, I would.... Lock if my closing was taking place within 7 days... Lock if my closing was taking place between 8 and 20 days... Float if my closing was taking place between 21 and 60 days... Float if my closing was taking place over 60 days from now... This is only my opinion of what I would do if I were financing a home. It is only an opinion and cannot be guaranteed to be in the best interest of all/any other borrowers.