Should I float? Should I lock? - Daily Update for Tuesday, February 5, 2008

Here are the daily thoughts on floating or locking if you are asked by your clients. 

As always - consult your favorite mortgage professional who will be able to offer the best advice for YOUR unique situation.

Little news due out this week.  Bonds will be taking direction from stocks and other assorted (and sordid) news sources.  With stocks appearing to take a rest after last week's 500 point gain, bonds are slowly on the rise today.  Australia raised it's key interest rate 1/4 point to 7%.  While not huge news, it does show global concern for global inflation and a global slowdown.

Technically speaking - the FNMA 5.5% 30 year bond has popped back through the 10 day moving average approaching the oversold range.

Today would be a good day to  

     Float!

To learn why one should Float or Lock -

                          Check out Should I float? Should I lock? & Reasons to Float or Lock