US 10 Year Treasury Rates Decreased 9 BPS

10 Year US Treasury rates decreased 9 bps for the week ending 5.26.22.  The short-term yield curve remains steep while longer-term 5+ years is FLAT.

Lending Rates and Borrowing Costs

MORTGAGE RATES are now at 5.33% For the 7-day period ending 5.26.22. 10 Year Treasury rates decreased 9 bps and mortgage rates were decreased by 15 bps. This caused the net spread to decrease 6 bps to 90 bps ABOVE the normal spread of 168 bps.

10 Year US Treasury

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: 9bp decrease. Inflation results for April were favorable, hence the decrease in rates that are gradually drifting down. 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.

2022 Recent Yield Curve Changes

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 for short terms is VERY steep while the longer-term (5+) remains virtually flat.

Bill Knudson, Research Analyst Landco ARESC