Mortgage rates jump as stock index hits multi-year highs

Markets were closed on Monday, January 21 and we begin the short week with stocks continuing to rise from multi-year highs.

We wrote this in our CCL Rate Tracker update last Thursday: “rates move up as stocks have rallied, pushing the S&P 500 to a five-year high during the middle of the trading day. The market moved on good news from construction and employment – housing starts hit their highest pace since mid-2008 and weekly unemployment claims reached a five-year low.”

Mortgage interest rates have continued to moved up to begin the January 22 week. This comes after strength in stocks pushed major indexes (S&P 500) to multi-year highs. With the exception of the USDA loan program, each rate in the 10-program CCL Tracker gained at least 1/8 point in price – or more.

Prior to the increase today, rates had continued with the slide down that began last week (after the New Years rate increase). The 10-year Treasury yield is down to 1.86% from a recent high of 1.95%.

We have published the 30-year fixed at 3.125 percent (3.226 percent APR), the 15-year fixed at 2.375 percent (2.560 percent APR), the 30-year high balance 3.375 percent (3.460 percent), and the 30-year FHA at 3.000 percent (4.022 percent APR). (See the entire 10-loan tracker HERE).

There will be several important indexes and numbers released throughout the week. Check in for more information on the following:
  • Existing home sales (January 22)
  • MBA mortgage applications (January 23)
  • Jobless claims (January 24)
  • New home sales (January 25)