Treasury Auctions (5,7,10,20,30 year)
Tomorrow doesn’t have any relevant economic data to be concerned with. However, it does have the first of this week’s two Treasury auctions that have the potential to influence mortgage rates. 5-year Notes are being auctioned tomorrow, followed by 7-year Notes Thursday. If these sales are met with a strong demand from investors, particularly tomorrow’s auction, bond prices may rise during afternoon trading. This could lead to improvements in mortgage rates shortly after the results of the sales are posted at 1:00 PM ET each day. A lackluster investor interest may create selling in the broader bond market and lead to slight upward revisions to mortgage rates.