Seattle Real Estate Mortgage Rates Today 11/16/10

Seattle / Bellevue Real Estate Mortgage Rate Watch: Here is a recipe for rates to move higher or lower.

What spurs inflation?  Any positive economic news in the united states will spur inflation concerns.  Reports like the Consumer Price Index, Producers Price Index, Core Consumption, Consumer Confidence, Employment, etc. 

When positive data is released it will cause for now bonds to sell off.  When bonds sell off mortgage rates move higher. 

Now the exact 180, when negative economic data is released it causes bonds to be purchased and pressure yields lower in turn lowering mortgage rates.

A last piece to this cocktail mix is the foreign markets.  How China and Europe react to inflation by raising short term rates will pressure the U.S. dollar.  This may also pressure rates to move higher depending on the reaction in the bond markets. 

A day like today where the Dow Jones sells off by 200 points would in past translate to lower rates because the bonds would be the beneficiary, however not the case today. 

Stay tuned for any breaking news on our twitter page. 

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