Mortgage Rates Fall in Line with 2014 Lows
The most interesting thing about the movement of the past two days is that there is no big-ticket headline motivating it. This is simply traders moving money for a variety of reasons. No one can know what all the motivations for that might be. Even the market participants themselves can only know about their own individual reasoning, but we can certainly make an educated guess based on the fact that the Minutes from the most recent Federal Reserve meeting are tomorrow at 2:00pm.
Certainly, this isn’t the only market-moving consideration in play, but if some traders are expecting a rate-friendly tone, that could account for some of the extra ‘oomph’ behind the current push lower. It would also increase the risk of a volatile reaction after the data hits.