Mortgage ratesgave backyesterday's gains this morning following a stronger-than-expected employment report from ADP. While this is not the week's biggest jobs report, investors view it as one of several early indicators of the official Employment Situation (the big jobs report that comes out tomorrow morning). In general, stronger economic data (i.e. more job growth) tends to push rates higher and vice versa.
In the bigger picture, today's move higher in rates will scarcely be detectable for most borrowers. In nearly every case, today's rate quote would be the same as yesterday's with the possible exception of slightly higher upfront costs today. When it comes to "note rates" (the actual interest rate applied to your mortgage balance, without regard for the upfront costs), we're still sideways near the best levels of the year....(read more)Forward this article via email:Send a copy of this story to someone you know that may want to read it.