Lots of eyes are on the long end of the bond market curve as US 30-year yields test the August low of 3.05%. The low today so far has been 3.0615% with all of the declines coming in US trading in a 6 bps swan dive.
US 30-year bond yields
The market just doesn’t believe the Fed will ever hike rates above 3%. If that level breaks the next support isn’t until the mid-2011 low of 2.80%.
That’s good news if you’re a US home buyer. Zillow reports the 30-year fixed mortgage rate fell to 3.96% from 4.08% in the past week. A 15-year fixed is just 3.07%.
Update: The 30-year has now broken through to 3.0496%.
