For the 7 day period ending March 10th, 2022, 10-Year Treasury rates increased 12 bps while mortgage rates increased 9 bps. This caused the net spread between the two to decrease 3 bps to 39 bps above normal spread of 168 bps. It appears the mortgage market is positioned for anticipated rate increases by the Fed on 3.15.22.
Daily changes in the US 10 Year Treasury rates are the blue bars while the red line is the cumulative change in rates since February 17th, 2022. Cumulative changes over the past 14 trading period resulted in a 1 bps decrease. For the blue bars it is unusual to have changes of greater than 0.10 in a single day and 0.20 is VERY usual. The time period below incudes the impact of Russia’s attack on Ukraine.