Mortgage Commentary for Current Connecticut Mortgage Rates
Thursday’s bond market has opened up slightly despite some favorable economic news. The stock markets are helping to limit this morning’s bond improvements by posting gains of their own. The Dow is currently up 31 points while the Nasdaq has gained 21 points. The bond market is currently up 3/32, which should improve current Connecticut mortgage rates by approximately .125 of a discount point.
The Labor Department announced early this morning that 386,000 new claims for unemployment benefits were filed last week. This was higher than the 375,000 number than analysts had expected, meaning the employment sector was weaker than thought last week. In addition, an upward revision of 8,000 claims to the previous week’s total means that week was also softer than previously thought. Unfortunately for mortgage shoppers, this news has had a minimal impact on today’s Connecticut mortgage rates because the report tracks only a single week’s worth of new claims. Still, there is a rising trend the past couple weeks, which will likely become more newsworthy since we are approaching the 400,000 threshold again.
March’s Existing Homes Sales report was posted by the National Association of Realtors late this morning, revealing a 2.6% decline in sales of previously owned homes. This was short of forecasts, which called for a small increase in sales. That points towards a softening housing sector, making the data good news for the bond market and Connecticut mortgage rates.
Lastly, the Conference Board announced late this morning that their Leading Economic Indicators (LEI) for March rose 0.3%, exceeding expectations by a small margin. Since the LEI attempts to predict economic growth over the next several months, the larger than expected reading is technically bad news for Connecticut mortgage rates. However, since it carries only moderate importance in the markets, barely missed forecasts and the other two reports gave us favorable news, the LEI has had little impact on this morning’s Connecticut mortgage pricing.
Tomorrow has nothing of relevance scheduled, so look for the stock markets to be the biggest influence on bond trading and Connecticut mortgage rates. I am expecting to see a fairly calm day in the bond and mortgage markets.
Rate Lock Advice for Current Connecticut Mortgage Rates
If I were considering purchasing or refinancing a home and predicting likely Connecticut mortgage rates, 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 a general opinion of what I would do if I were considering whether to lock or float current Connecticut mortgage rates based on the current mortgage market. Your individual situation may be different. Contact me if you would like advice for your particular circumstances.
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