Posted by Apex Home Loans ● June 22, 2020

Madness in the Market: Updated Report June 22, 2020

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Monday, June 22, 2020

What's going on and why does it matter?

Mortgage bonds opened flat this morning and they are continuing to drift sideways amid mixed sentiment in global stock markets. Investors are optimistic about economies reopening as well as the massive monetary and fiscal stimulus plans underway in much of the developed world. However, this optimism is limited by worries of a second wave in Covid-19 infections with the World Health Organization reporting a record increase in global cases on Sunday. A record number of cases were also reported over the weekend in seven US states. The Fed is scheduled to purchase up to $4.721 billion of mortgage bonds today. Since the restart of the Fed's bond-buying program in March, the Fed has purchased a whopping $756 billion of mortgage bonds.

What should you do about it?

Watch and see if mortgage bonds can remain above their 30-day moving average, but be prepared to lock your rate if mortgage bonds fall below that level.


Economic reports that may impact mortgage rates this week:



Please be aware: by refinancing your existing mortgage, your total finance charges may be higher over the life of the loan.

Topics: Refinance, Interest Rates, Mortgage Interest Rates, home loan refinance, lower interest rate, Corona Virus, COVID-19