Treasury Auctions (5,7,10,20,30 year securities)
Tomorrow morning also has nothing of importance scheduled, but we do have the first of this week’s two Treasury auctions taking place that may affect mortgage rates. 10-year Treasury Notes will be sold tomorrow followed by 30-year Bonds Thursday. These sales don’t directly impact mortgage rates but can affect the broader bond market that trickles into mortgage bonds. If investor demand was high for these securities, we may see bonds rally during afternoon trading tomorrow and/or Thursday. However, weak interest in the sales could lead to bond selling and a possible increase in mortgage rates. Results will be posted at 1:00 PM ET on the sale days, meaning if there is a reaction, it will come during early afternoon hours.