Mortgage rates were steady for the most part today as 4.125% - 4.25% (depending on loan fees) still is intact as the most prevalently-quoted conforming 30yr fixed rate for top tier borrowers.

The markets that underlie mortgage rate movement were uninspired today. Housing is still at best muddling - how can one save enough for a down payment? It is likely that will continue, especially if and when interest rates increase. That is one of the key under-debated concerns held by Janet Yellen and all other Fed officials regardless of what positives are thrown out there. It doesn't take an economist with a PhD to see what will happen to the housing markets when rates move higher. In the meantime the Fed will keep rates lower longer than what is currently expected by the lemmings of Wall Street. The argument that higher interest rates will stimulate the economy did work back in the seventies when jobs were plentiful and inflation was increasing; but at the end of the day that too crashed. In the complete absence of fiscal responsibility, the Fed is hanging by its heels now. Ditto in Europe. China with central management has also it a wall, still growing but at half the pace of two years ago---and that is not going to last long before their housing sector completely implodes.

In summary, arather sedate Monday in rate markets today. There is limited significant economic data this week, and we are still well within recent ranges. Geopolitical drama may influence us as much as anything. The long term trend downward is still intact, big question is when (not if) we will break it. Lock/float discussion may tilt to float for borrowers with time on their side.