Market Comment

Mortgage Bonds are trading lower this morning, erasing some of yesterday afternoon's gains.
In the news today, Consumer Confidence for September was reported quite a bit lower than expectations. On the news, Stocks reversed lower, helping Mortgage Bonds improve from their worst levels. Also today, the Case-Shiller Home Price Index came in better than expectations and may indicate that that the worst of the housing price declines are behind us.I recommend floating for now. But with the nearest floor of support sitting 50 basis points beneath the current level, be prepared to lock quickly if the situation changes.

Leonard Winslow, Dominion Trust Mortgage
434-760-2580 (cell)
leonard.winslow@dominiontrustmortgage.com
www.dominiontrustmortgage.com/leonard.winslow
Licensed by the Virginia State Corporation Commission. License #: MC-5112.