Mortgage rates were sharply higher yesterday, but managed to reverse course and make some gains today.  The refreshing part of the improvement was that the bond market (which underlies rates) was already holding its ground before there was any obvious reason to do so.  Simply put, this suggests that investors could view current rates as being high enough to be considered a good buying opportunity.  That's a complicated way of saying rates could be running into a ceiling here.

A word of caution though: it's never possible and seldom a good idea to read much into longer-term trends based on one day of bond market movement.  The risk remains that the lowest rates we'll see for a while have already been seen at the beginning of September.  What we're hoping to avoid is simply a runaway surge toward higher rates.  Today's gains suggest that's possible, but it will ultimately come down to the balance of economic data at home and abroad in the coming weeks/months.