Very interesting week! The stock market plummeted bringing the 10 year Treasury rate down with it. The 10 year ended the week at 3.25%, down 31bps from a week earlier. As might be expected, mortgage rates dropped as well. Correspondent mortgage rates came down 21bps to 4.46% while retail rates dropped only 9bps to 4.84. It is not unusual to see this kind of lag between the index rate (treasury), the secondary rate and the primary rate. I would expect some catch up next week.
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