Mortgage pricing may have hit rock bottom, and a rebound upward would be a welcome move to get mortgage rates headed back lower again. There is still a lot of tariff talk and trade war uncertainty. The Dollar valuation is at its lowest level in three years, which is making American assets very appealing to foreign investors.
You’ll see that since stocks and bonds are out of freefall mode, interest rates have dropped even though MBS haven’t improved much today. I’m consequently reassured that we have indeed hit a floor of support for the time being.
