January 9th, 2014 2:38 PM by Jackie A. Graves, President
Mortgage rates were sharply unchanged today with the few better-priced lenders offset by a few others in worse shape compared to yesterday. The balancing act was only perfectly achieved in the afternoon when several lenders released better rate sheets after trading levels improved. In other words, rates were slightly worse this morning, on average, but afternoon reprices brought them in line with yesterday's levels. As such,4.625% remains the most prevalently-quoted rate for ideal, conforming 30yr Fixed loans (best-execution).
Tomorrow brings the month's most important piece of economic data: the Employment Situation Report. In fact, this is the first major dose of market-moving information since the Fed announced the reduction in asset purchases on December 18th. As always, it has more potential than any other economic report to cause movement for mortgage rates.
When considered in conjunction with the fact that the rate environment has been exceptionally flat for the past several weeks, a big reaction to this data may well kick off the next wave of momentum. A weak number could usher in a more developed pocket of recovery while a stronger number could make for a run at a 4.75% 'best-execution' level.