The first leg of the Treasury’s Refunding auction just hit. 38 billion of 3 year notes crossed the tape at 1.414% (no tail), 3.27 to 1 bid to cover (average is 3.0 to 1), Indirect bidders took 51% (not bad) and Direct bidders took 16.5% (double the average). Not bad overall, we’ll give it a B. The trade today have been a little squirrely as stocks opened in the hole (rethinking the trillion dollar EU bailout) but have now gone positive as the big board prints plus 52 points. Naz is up over 20 points as well. Bonds, notes, and mortgage backs opened in positive territory. Currently, we’re unchanged as stocks have gone green. Not a bad performance for mortgage product as the spreads have tightened to the 10 year note which is off 9/32’s to yield 5.78%. Market is starting to pick up on the volatility front so be careful out there. With more supply coming tomorrow and Thursday, coupled with a stock market that may have found it’s sea legs, borrowers looking to lock an Austin mortgage rate should stay defensive short term. More in a few.
Borrowers looking to lock an Austin mortgage rate should stay defensive short term
About the Author: Max Leaman Austin Mortgage
Great Rates, Low Fees, Close on Time® – (800) 301-3405 Since 2001, Leaman Team has helped clients to purchase, refinance and renovate. The biggest distinction between lenders is their honesty, customer service, and ability to close on time.
September 28, 2018
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April 27, 2017