Yesterday the Fed trimmed backed their forecast for rate increases for the year from 4 to2. The bond and stock markets both liked it. It was good to see some carry through this am and see yesterday’s resistance become today’s support. We then had a gap open (technical term, very bullish), but bonds have sold off since then because of some better than expected economic data. Mortgage Backed are between resistance and support and the crystal ball is cloudy. Rates are probably an 1/8th of a point better than yesterday, maybe more. People could float, but 2 days ago they would have been happy with where rates are today.
