Mortgage Backed Securities are Minus 6 this morning.

Lenders came out very aggressive in their pricing today. The short week and low volumes may have prevented them from producing the best rates available. Today they are very aggressive in the face of head winds. We will have to see if they keep their sentiment the rest of the trading day. We are already off the best levels of the day and sliding.

The Institute for Supply Management released their current reading. Most analyst predicted a number of 54 and the markets were disappointed in the 53.3 reading. A reading over 50 signals expansion and that further supports the last 3 economic reports that showed we were in a soft patch.

The equity markets stumbled out of the gate this morning. Investors did not know how much weight to put on the current readings. It appears investors have found their direction as they are taking the equity markets higher.

I said yesterday that mortgage rates never move in a straight line. This could be a small dip and an opportunity to lock. Remember that Friday we will see a very important set of job reports.

Milwaukee Mortgage Rates are improved today.

www.mortgagewerviceswi.com/rates