Have Mortgage Rates Hit Bottom?

[Farm Gal]

Interesting~!
http://realtytimes.com/rtnews/rtcpages/200...04_mtgrates.htm

Ok, so they gloss over the fact that the T-bill thing was directly related to the war effort... but negative interest on Berkshire Hathaway????

As stated a wall has been breached Possibly the buyers' skulls!?!?!

 

[The Bob]

I saw an interesting piece on interest rates this am on Bloomberg. Eveytime the dollar has fallen in value, like it currently is, interest rates have risen. Also today, Canada raised their interest rates for the second time in a matter of weeks.

 

[Farm Gal]

So will they atay low or are we heading for a late 70's inflation/interest spike or what sayeth everyones crystal ball?

Mine's foggy :!: :lol:

 

[rcaldwell]

If the equity market continues to contract, expect they could get lower. The dollar argument is somewhat flawed in that the dollar really hasn't weakened vs. our major trading partners. It has against the Euro, but that isn't as significant as Mexico, Canada and Southeast Asia. The other thing to watch is if the 10 year treasury gets into the 4.5% range, you will get a big rally in treasuries as owners of mortgage securities will buy treasuries as a hedge against mortgage refinancing. Long winded but I expect rates get cheaper before they go up.

Ryan