Mortgage rates lower again today.  The improvement was fairly decent given the amount of movement seen in the bond market.  The reason for that has to do with the phenomenon we discussed on Friday whereby mortgage lenders are generally a bit cautious when it comes to adjusting rate sheets to keep pace with bond market movement.  With that in mind, bonds had improved during the day on Friday, but most lenders didn't adjust rates in the afternoon.  Simply put, we are seeing Friday afternoon's bond market improvement today.

There are only a few significant scheduled events with the potential to cause volatility for rates this week and they won't hit until the end of the week.  Even then, it will be next week's Fed announcement (where they're widely expected to cut rates) that stands the biggest chance to push rates higher or lower in the near term.  We'll talk more about why a Fed rate cut could still result in rates moving higher.