Mortgage Rates Fully Erase Monday’s Surge

Mortgage Rates Fully Erase Monday’s Surge

Mortgage rates began the week with a moderately big jump to what were essentially the highest levels in more than a month.  Less than 24 hours later and the average lender is back to last Friday's levels.  What's up with that? Investors drive mortgage rate movement via the buying and selling of bonds.  More buying = lower rates.  More selling = higher rates.  Investors sold bonds yesterday after First Republic Bank was absorbed by JP Morgan in process that was about as orderly as it could have been.   But rather than rest easy on the assumption that First Republic was the last of the troubled banks, financial markets attacked the stock prices of several other banks this morning, ultimately forcing a halt to trading for several of them.   Banking sector concerns lead investors t