Mortgage rates moved higher today at the fastest pace in several months today.  The underlying bond market (which dictates rates) was merely hinting at a corrective bounce by the end of last week.  After today's moves, bonds are shouting their corrective intentions from the rooftop.  While it does happen several times a year, it's rare to see rates move higher as quickly as they did today.

If all of that sounds alarming, that's because it is!  Days like today can indeed mark the shift into a higher gear for a run toward higher rates.  That said, this is only the 4th day of higher rates since hitting 3-year lows at the beginning of last week.  There are certainly past examples of days like today--that give the illusion of more pain to follow--that end up being false alarms.  There's no way to know which version we're getting!  All we can do is follow the current trend, which is currently unfriendly until further notice.

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