15-Year Mortgage Refinance Rate Slips Below 5%
Does the move matter? Treasury yields have exploded and are likely to rise further amid rate increases by the Fed.
As speculation arose in May that economic weakness might keep the Federal Reserve from raising interest rates much more, bond yields dipped.
The 10-year Treasury slid from 3.12% May 6 to 2.74% on May 27. Investors were particularly moved by weak earnings reports from Walmart and Target
As Treasury yields determine mortgage rates, those rates briefly declined.
The average 30-year fixed mortgage rate fell from 5.3% in the week ended May 12 to 5.09% in the week ended June 2, according to Freddie Mac.
The 15-year fixed mortgage rate slid from 4.52% in the week ended May 5 to 4.31% in the week ended May 26.
Mortgage refinancing rates decreased as well.
The 15-year refinancing rate dropped from about 4.9% May 10 to about 4.2% May 27, according to Credible, an online loan service
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