by Calculated Risk on 5/10/2019 02:43:00 PM
Friday, May 10, 2019
Mortgage Rates and Ten Year Yield
With the ten year yield at 2.45%, and based on an historical relationship, 30-year rates should currently be around 4.4%.
As of yesterday, Mortgage News Daily reported: Mortgage Rates Unchanged to Slightly Lower
Mortgage rates were just slightly lower on average today with some lenders flat and others distinctly lower. [30YR FIXED - 4.25%]The graph shows the relationship between the monthly 10 year Treasury Yield and 30 year mortgage rates from the Freddie Mac survey.
emphasis added
To fall to 4% on the Freddie Mac survey, and based on the historical relationship, the Ten Year yield would have to fall to around 2.1%
To increase to 5% (on the Freddie Mac survey), based on the historical relationship, the Ten Year yield would have to increase to about 3.3%.