Treasury Auctions (5,7,10,20,30 year)
We also have the 10-year Treasury Note auction to watch this afternoon. Results will be posted at 1:00 PM ET, making this an early afternoon event for rates. If there was a strong demand for the securities, we may see bond prices rise enough during afternoon trading to cause downward revisions to mortgage rates. However, lackluster bidding in the sales, meaning longer-term securities are losing their appeal, could lead to higher mortgage pricing this afternoon. It is hard to see this auction going well considering the inflation concerns in the markets currently and this morning’s related data.