May 28th, 2013 4:11 PM by BILL WILBANKS
The DOW started this morning up to 15,520 and by the close of the day driving the 10 year treasury to 2.17% and mortgage points jumped several times today as lenders rushed to update their pricing sheets as rates quickly followed suit. Both stocks and treasury yields moved up when usually the inverse might be expected.
The DOW dropped through the afternoon and finished up about 100 points lower than the morning high at what was still a record at 15,411. At the end of the afternoon the best fixed rate I could find out there on a well qualified borrower for a 30 fixed sat at 3.75% barely holding on from sliding over the 3.875% level. That's a full 0.50% increase in the 30 year fixed in just 30 days. The 15 year was just behind barely hanging onto a 2.875% quote and both sitting on the cusp could easily slide another 0.125% on the rate in the morning depending on how it goes of course.
Ask yourself....how long do you want to wait? Many market mavens have been expecting an adjustment in this very long bull run and that could certainly help mortgage rates, but so far it keeps climbing. Apparently the stock market for the big investors has been looked at as the only real game in town right now for yield.