April 16, 2025

Over the past two months, as markets absorbed several fiscal policy changes, a predictable trading pattern emerged where stocks and interest rates typically moved lower together, especially during times when investors sought safer assets. However, this pattern was disrupted last week due to several technical factors, causing rates to rise sharply even as stocks continued to decline.

While it’s too early to declare victory over the volatility, the bond market is starting to return to its normal behavior, helping to bring interest rates lower. Today's data led to significant stock losses, but the bond market provided enough support to allow rates to decline. This marks the third consecutive day of decreases, with the average 30-year fixed rate for top-tier conventional loans now falling under 6.875%. If you’re considering refinancing or buying, now may be the right time to lock in a lower rate—reach out to discuss your options today!