Will interest rates go lower?

There isn't much happening per say in the market with respect to interest rates. We are still in a carefully floating mode.

There is a lot of talk about AIG, the Fed purchasing another $700B in mortgage back securities, US home prices rose 1.7% in January (1^st monthly increase in a year), existing home sales came in stronger than expected at 4.72M versus the 4.45M estimated, and we have the Mark to Market vote on April 2nd. This vote on how this Mark to Market reporting could have a huge impact on the markets. I will keep you posted.

I have attached an article that was in the Wall Street Journal on Thursday on why Mortgages of 5% maybe near the bottom. This would be a good article that talks to why interest rates will be at 5% for awhile.

http://online.wsj.com/article/SB123750531250489895.html Under 5% Mortgages May Be Near The Bottom

Have a great day.