Mortgage rates continued higher today, bringing them back in line with Monday's levels. Part of the rise was due to weaker trading levels in bond markets. Just as important is the fact that many lenders didn't raise rates yesterday afternoon as the bond weakness began (weaker bond markets imply higher rates). In other words, unless bond markets improved overnight, this morning's rates were already destined to be a bit higher than yesterday's. Even though today's increase was far more substantial than yesterday's, it leaves rates at levels that are still slightly better compared to last Friday.... (read more)

Mortgage rates stood at their lowest levels in more than 2 months as of last Wednesday, but have since moved higher for 3 straight days . This leaves them roughly in the middle of their recent range--seemingly ready to move in either direction depending on this week's motivation. Investors will be looking for that motivation first and foremost from Fed Chair Yellen's congressional testimony , which begins tomorrow morning and continues on Wednesday morning. Although not an official Fed policy statement, these testimonies often serve as a venue for the Fed Chair to confirm, deny, or tweak preva... (read more)