Mortgage rates moved slightly higher today on average despite strength in underlying bond markets.  Normally, when bond markets improve, rates drop.  Recently, however, lenders haven't responded to market movements at the regular pace.  This can happen during times of increased volatility--especially if the volatility is generally taking bond markets back and forth within a range.  In these cases, lenders assume that the range will continue to hold and thus avoid chasing every little move higher and lower.  Such was the case on Friday when lenders kept rates lower than the bond market weakness suggested.  But today didn't bring nearly enough strength to offset Friday's damage.  Thus we're left with the slightly stronger bond markets coinciding with slightly higher rates.

All that having been said, not every lender moved higher, and the changes were modest among those who did.  The average lender continues quoting conventional 30yr fixed rates of 3.75% to 3.875% on top tier scenarios.  The change in effective rates would be seen in the form of higher closing costs or lower lender credit.