Mortgage rates didn't move at all, again today.  There really hasn't been any meaningful movement for more than 3 weeks.  The same thing happened from late June through mid July.  And if we broaden our definition of "sideways" just a bit, we can legitimately fit most of 2018 into the same conversation.  Just about the only thing that's interesting about recent rate movement is that it continues to keep us generally closer to the highest levels in 7 years.

Part of the current problem is simply the time of year.  It's not uncommon to see underlying bond markets consolidate at some point in the summertime months before breaking higher or lower in September.  The difference this time around is that part about 2018 being broadly sideways for the entire year.  That would seem to suggest indecision among traders as to whether or not long-term rates (like 10yr Treasury yields and mortgages) really need to move any higher.  After all, the fact that they "needed" to move higher was (and still is) so abundantly clear based on market fundamentals that traders are making a record amount of bets on rates continuing to rise.  Paradoxically, this could be a blessing in disguise because when everyone is making the same bet in financial markets, no one makes money and something has to change.