WeeklyBasis 09/02/03: Rates Up In Labor Day Bond Selloff

Please see rate snapshot below for reference the week of September 2, 2003. Traders returned from Labor Day vacation in an angry mood this morning and bonds sold off, driving yields up. Despite rising rates in the last 2 weeks, long-term rates are still only about 50 basis points higher than they were at the start of the year – which means we are still near all-time lows. It is possible that we will see a break from higher rates this month, as September is historically the worst month for stocks (investors typically move over to bonds, which drives yields down).

Conforming ($50K – $322,700K) – NO POINTS
30 Year: 6.125% (6.625% APR)
15 Year: 5.625% (5.765% APR)
5/1 ARM: 5.25% (5.40% APR)

Jumbo ($322,701 – $650,000) – NO POINTS
30 Year: 6.625% (6.765% APR)
15 Year: 6.0% (6.14% APR)
5/1 ARM: 5.125% (5.275% APR)