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.
Yesterday stocks tried bouncing back from the bleak outlook that Tuesday caused. One report yesterday came in weaker than expected possibly signalling inflation is better under control. This is a good sign for bonds. Jobless claims came in a wee bit higher than expected today.
Technically speaking - the FNMA 5.5% 30 year bond fell back down to the 10 day moving average yesterday. It appears a bounce is possible today, especially since bonds are tending towards the oversold stage - a good sign.
This coupled with weaker than expected sales growth at Wal-Mart points to a weakening in the stock market and a strengthening in the bonds market. Take advantage of the better rates that will occur today and looking to the short term future indicates that one should
Float
Edit - Things are taking a turn for the worse. Please change lock any loan you may get a change at.
Lock.
To learn why one should Float or Lock -
Check out Should I float? Should I lock? & Reasons to Float or Lock
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Gin - Rates got worse yesterday because one of the regional chairman of the Fed made some pretty broad and extreme statements about inflation fears. The bond market doesn't react well to someone in a relatively important position speaking in such a manner.