Rate Watch 11-10-2010

Alert to Lock:
Mortgage Backed Securities are down sharply again today. The recent market action shows just how quickly sentiment in the market can change. Just a few weeks ago Treasury Bond prices and Mortgage Backed Securities were in rally mode, as fears and whispers of deflation pushed the entire Bond Markets higher. Now, with the Fed (QE2) intent on avoiding deflation and in fact creating inflation, the entire Bond market - including Mortgage Backed Securities have fallen as a result.
The Labor Department reported today that Initial Jobless Claims fell 24,000 in the latest week to 435,000, representing the lowest reading since July. But, we still have some major concerns in the labor markets.  Crude Oil tops $87.00 per barrel. If you or someone you know is considering buying, selling or refinancing real-estate please contact me at 801 668 2112.