October 6th, 2010 10:32 AM by Eric Fang
If you read my previous blog, we talked a lot about the QE2. And there are some details about which Fed officials' opinions about the QE2(did not list it here, but you can still Weekly mortgage News on my website for the whole version).
The market is betting that Fed will have a stimulas plan on Nov FOMC meeting, which including the purchase of the treasuary.
And also because of some economicist' prediction of recovery in 2014. The interest rate will stay at low.
But why we don't see the lower rate now. One main reason is that we lock for 60 days now, and 60 day lock rate is usually 0.125% higher than 30 day lock.