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December 17, 2008

Fed Makes Bold Moves with Deep Interest Rate Cuts

Category: Home Loan News,Published Articles – admin – 2:22 am

The Federal Reserve made more bold moves today when he announced key interest rates that reach historic levels.  Home loan lenders reported interest rates as low as 5% for mortgage refinancing and home financing. Many mortgage brokers believe the rumors are true that the government will induce lenders to offer mortgage rates in the 4.5% range.”

Demand for government bonds surged and the yield on the benchmark ten-year Treasury note, which moves opposite its price, dropped to 2.27 % from 2.53 % late Monday. The yield on the thirty year dropped to 2.78% from 2.99% late Monday.  The yield on the three-month Treasury-bill whose yield has at times gone below zero due to crazy buying — was at 0.02, flat with late Monday.  The dollar was mostly lower against other major currencies, particularly the euro. Gold prices rose.  Read the full article > Fed Makes History by Cutting Interest Rates to the Lowest Level

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