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Bill Knudson

Treasury Rates: June 23rd, 2022

MORTGAGE RATES remain at 6.01% For the 7-day period ending 6.23.22, 10 Year Treasury rates DECREASED 19bp. This caused the net spread to increase from 19bp to 124bp ABOVE the normal spread of 168bp.


 

Daily changes in the US 10 Year Treasury rates are the blue bars while the red line is the 14-day cumulative change in rates: 7bp decrease. RATES ROCKET UP BUT FEATHER DOWN. For the blue bars, it is unusual to have changes of greater than 0.10 in a single day and 0.20 is VERY unusual.


 

After the Fed increased rates, by 75bp on June 15 rates DECREASED this past week, particularly for 5 and 10-year terms (red line is current and green is last week).


The Yield Curve for short terms is VERY steep while the longer-term (5+) is slightly inverted.


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