Treasury Rates: May 19th, 2022
MORTGAGE RATES ARE NOW 5.48% For the 7-day period ending 5.19.22, 10 Year Treasury rates UNCHANGED while mortgage rates were DOWN 5bp. This caused the net spread to decrease 5bp to 96bp 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: 21bp decrease. Inflation results for April were favorable, hence the decrease in rates for the last 4 days. 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.
Inflation improved in April, and as such the Yield Curve dropped particularly for longer-term rates this past week (the red line is current and green is last week).
The Yield Curve remains virtually flat for 5+ years and the inversion is BACK.