No Change To April 2 Mortgage Rates 4-2-2018
By James Brooks
The bond market is down 1/32 (2.72%), which should prevent much of a change in Raleigh area mortgage rates.
Today?s only relevant economic data was a fairly significant manufacturing-related index at 10:00 AM ET. The Institute for Supply Management (ISM) posted their manufacturing index for March, announcing a reading of 59.3. This was softer than the 60.0 that was expected and a decline from February?s 60.8. The drop means that fewer surveyed manufacturing executives felt business improved during the month than did in February. That is a sign of a weakening manufacturing sector, making the data good news for mortgage rates. Unfortunately, it appears the news isn?t having as much of an impact as it usually does, preventing a positive morning in bonds.
The rest of the week brings us the release of three more pieces of monthly economic data for the markets to digest. There is nothing of importance scheduled for tomorrow, so it could be another red day for bonds if today?s negative momentum carries into tomorrow. Bonds had a great run last week, so it is not surprising to see some profit-taking as investors prepare for the market?s next move.
Overall, Friday is the most important day of the week due to the monthly Employment report being released. The calmest day will probably be tomorrow or Thursday. There isn?t a large number of reports being posted this week, but a good portion of what is on the calendar is considered highly important. Therefore, it is strongly recommended that you maintain contact with your mortgage professional if closing in the near future and still floating an interest rate.
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... Lock if my closing was taking place between 21 and 60 days... Float if my closing was taking place over 60 days from now.