Treasury Auctions (5,7,10,20,30 year securities)
Tomorrow does not have a morning economic release that we need to be concerned with but does have two afternoon events that we will be watching. The first is the 5-year Treasury Note auction. These types of sales generally do not directly impact mortgage pricing, although they can influence general bond market sentiment. If the sale goes poorly, we could see broader selling in the bond market that leads to a slight upward revision to mortgage rates. On the other hand, a strong demand from investors usually makes bonds more attractive to investors, bringing additional funds into the market. The buying that follows sometimes translates into lower mortgage rates. Results will be posted at 1:00 PM ET, so look for any reaction to come during early afternoon hours tomorrow.