Market Update
Monday, August 24, 2015What's going on in the market?
Mortgage bond prices are continuing to jump higher amidst turmoil in global stock markets. Market participants are concerned that economic weakness in China could spill into the global economy and spark a global recession. This is causing investors to flock to the bond market for safety, and driving up the price of mortgage bonds.
Why does it matter?
When mortgage bond prices go up, mortgage pricing improves. In fact, mortgage rates are currently at their lowest levels since May of this year.
What should you do about it?
Enjoy the rally in bond prices, but be prepared to lock your rate quickly if the market changes directions.
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