'Prices are falling' becomes real estate mantra

Mortgage market commentary

Bond yields rose slightly this week in a long-overdue correction from straight-line decline, but not enough to move mortgages above 6.5 percent for low-fee deals.

A bigger rate rise was intercepted at mid-week by declines in price in the whole commodity complex. Oil has broken to $67, natural gas to $5.71 (60 percent below last winter’s spike), wholesale gasoline to $1.63 (retail gas should fall below $2.50 in a month or so), and gold may shortly fall below $600.