Treasury Auctions (5,7,10,20,30 year)
We also have a 5-year Treasury Note auction taking place today. This type of sale does not directly impact mortgage pricing, but it can influence general bond market sentiment. If goes poorly, we could see broader selling in the bond market that leads to upward revisions in mortgage rates. However, strong investor demand usually makes bonds more attractive to investors, translating into slightly lower mortgage rates. Any reaction will come shortly after results are posted at 1:00 PM ET. This scenario will be repeated tomorrow with the 7-year Note auction.