Interest rates starting to correct

We’re seeing some follow-through from yesterday’s big sell-off.  Presently, the GNMA 4% is off about 20 basis points.  That might or might not be enough to move rates a full .125%.

Gold hit another record, now up to $1,207/oz.

The ADP jobs report came in today.   The report was worse than expected in terms of how many jobs were lost, yet mortgage rates are deteriorating.  Right now, the momentum appears to be that mortgage bonds were a little overbought in these past few weeks.  The FHA interest rate predictions have to be more heavily favoring rates rising rather than falling.