Another classic Yogi Berra-ism is, “I never said most of the things I said.” Luckily, the Fed can’t make the same claim. This coming Tuesday, the “Meeting Minutes” or open commentary of the Fed’s last monetary policy meeting will be released to the public. If there are inflammatory comments, the market could respond quickly.

Remember, when Bond prices move higher, home loan rates move lower. And as you can see in the chart below, Bonds have rebounded higher off of their key 50-day moving average support level, and are moving back toward the upper portion of their current trading range. This means if Bond prices continue to move toward the upper boundary of the range, we could see home loan rates improve slightly.

Chart: Fannie Mae 5.5% Mortgage Bond (Friday Apr 04, 2008)

This entry was posted on Monday, April 7th, 2008 at 9:11 am and is filed under Bond Market, Forcast, Market News, Money Market, Weekly Update. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.