But the Federal Housing Administration program was the only mortgage loan type to gain market share month-to-month as measured by rate lock percentage.

A slower rate of price increases would boost the likelihood of an interest-rate cut that could expand loan demand and lower banks’ deposit costs. A higher pace of inflation, however, could derail those catalysts.

A New York Times report suggests the majority of the NAR affiliate’s grants to right-leaning organizations are out-of-line with its housing-related mission.

Mat Ishbia urged brokers to understand how the increases in credit score and report costs affect both them and the borrowers they serve.

A new question field on the Consumer Financial Protection Bureau’s consumer complaint form is tied to an advisory opinion on customer service related to customers’ requests for information, industry experts say.

Ready For Anything After Pre-CPI Consolidation

Bonds were arguably consolidating ahead of last Friday’s jobs report with the reaction representing a bit of a bullish breakout.  Since then, there’s been a quick and obvious re-consolidation back in line with last week’s M-Th levels. Today added to that process with most of the selling taking place by the start of the US trading session. Perhaps some of the selling has been an attempt to make room for this week’s Treasury auctions, but there’s no question that Wednesday morning’s CPI data is the last significant piece of the puzzle that the Fed will receive before deciding “to cut or not to cut” next week.  The market knows this, of course.  As such, a big deviation from forecasts would definitely be enough to get things moving.

Market Movement Recap

09:13 AM Modest weakness overnight. MBS down 5 ticks (.16) and 10yr up 2.7bps at 4.225.

12:50 PM MBS sideways, still down 5 ticks (.16). 10yr up 4bps at 4.239.

03:23 PM Some strength in PM hours.  MBS down 2 ticks (.06) and 10yr up 2.4bps at 4.223

Continued reductions by the Federal Reserve in short-term interest rates should benefit mortgage volume, and thus title insurance activity, Fitch Ratings said.

An interest rate drop spurred an unusually high number of recently originated mortgages to prepay, and one loan type proved to be particularly reactive.

Fannie Mae’s Consumer Housing Sentiment Index rose in November, continuing its steady climb and showing significant improvement compared to the same period last year.

Up until last Friday, 10yr yields closed at 4.17% for 5 days in a row. While that’s technically “resistance,” we’re not complaining considering that’s more than 30bps below the highs from 2 weeks earlier. In fact, it’s probably better for rates to consolidate here as traders wait for auctions and CPI data in the week ahead. With that in mind, last Friday threw a bit of a curveball with a small but noticeable break to even lower yields.  Now at the start of the new week, bonds have moved quickly back to the familiar consolidation range marked by a floor of 4.17. Meaningful improvement from here will require concrete motivation from this week’s CPI/PPI.  Auctions can play a supporting role, to some extent.