Rates Drop on Weak December Unemployment Report

Mortgage bonds rallied again this morning on the release of much weaker than expected December employment report. We should see mortgage rates improving by more than .25 to price. Jobless claims jumped to 5% in December, with only 18,000 new jobs added. This below the 4.8% and 70,000 new jobs level expected. It is great news for mortgage rates and indicates that the economy is weaker than expected and could be headed for a recession. Next week there are no significantly important economic reports due out.

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National Rates

Loan Type Today
30 Year Fixed   6.05
15 Year Fixed   5.73
5/1 Adjustable   5.78

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