Posted To: Mortgage Rate Watch

Financial market volatility increased noticeably after the emergence of the omicron variant. Last week, that proved to be good for rates and bad for stocks. This week was a different story. While the collective view of omicron remains cautious, several high profile comments pushed back against the defensive reaction seen in the previous week. Stocks eagerly bounced back toward pre-omicron levels and bonds reluctantly followed. If anything, the half-hearted move in the bond market is encouraging for rates. It speaks to a certain level of demand in the marketplace in light of other headwinds. Several of those headwinds have already been resolved this week. They included things like the scheduled Treasury auction cycle, elevated corporate bond issuance, and the release of the CPI (consumer price…(read more)

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Source: Mortgage News Daily