Mortgage rates were flat to slightly higher today, following a stronger-than-expected Retail Sales report.  The bond market (which dictates mortgage rates) was eagerly awaiting the week's first major economic data.  Even though the Fed will almost certainly cut rates at the end of the month, additional cuts depend heavily on the balance of economic data.  To whatever extent the data is strong, the Fed becomes less likely to continue cutting rates and the broader financial market becomes less interested in bonds.  When investors are interested in buying bonds, it's good for rates!

Fortunately for prospective borrowers, today's movement was minimal.  In fact, many lenders are effectively unchanged versus yesterday.  Moreover, bonds managed to improve throughout the day with those specifically underlying mortgages able to make it almost all the way back to yesterday's range.  Lenders didn't adjust their rate offerings to reflect the market improvement today as the move wasn't quite big enough.  That means rates should be flat to slightly lower tomorrow IF the bond market manages to hold steady by tomorrow morning.