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Epic Knowledge Drop on Why Mortgage Rates Can Appear to Have Dropped by Near Record Amounts Recently

When rates jump by some of the biggest amounts ever to the highest levels in more than a decade, it sets us up for some equally impressive corrections when the underlying bond market finally finds its footing.  That happened last week in grand fashion following the Fed announcement.  From Tuesday morning to Wednesday afternoon, rates dropped more than on any other single day since we began keeping daily records in 2009.  In many cases, this amounted to a drop of 0.375% in terms of conforming 30yr fixed rates, although the average was "only" 0.25%.  Today's drop versus yesterday is "only" 0.19%, but that's still one of the 5 biggest day-over-day drops we've recorded.  Once again, certain scenarios at certain lenders are seeing a drop of as much as 0.375%. What's up with the difference between those instances of 0.375% and our 0.19% average?&nbsp ....

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