Mortgage Rates May Drop Again

posted on May 6th, 2010 filed under: Real Estate Market Data, Real Estate News

What a difference a month makes.

The yield on the 10-year Treasury note spiked higher at the beginning of April, raising the prospect of higher fixed mortgage rates, which are generally correlated with the yield on the 10-year.  Now, with fears of Greek and other sovereign debt problems rocking Europe, the flight to safety in U.S. Treasury securities has driven the 10-year yield right back down.  Fixed mortgage rates should decline significantly as well.

The 4% level is proving to be very strong resistance.

U.S. 10-Year Treasury Yield (1-1-07 to 5-5-10)

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posted by // This entry was posted on Thursday, May 6th, 2010 at 10:47 am and is filed under Real Estate Market Data, Real Estate News. You can follow any responses to this entry through the RSS 2.0 feed.

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