Mortgage rates trending upward

Rates are moving upward this afternoon as investors re-price to changing market conditions. If the trend continues, we could be looking at about 1/2 point increase from the low 5’s to the mid 5’s by next week. But, it’s possible other economic reports due in next week could push things back down a bit. We’ll just have to wait and see. Economies around the world are trying to lift themselves up by the boot straps and this sort of chaotic wobbling is typical coming out of a recession as the broader markets move toward confidence in recovery and away from pessimism. A quick recovery could also spark inflation as the government’s spending seems to know no end. Stay tuned!  
“What analysts are saying: Good news is typically bad for bonds , analysts say, as investors delve into riskier assets and away from lower-risk government bonds.”
[Bonds are the benchmark investors use to set mortgage rates so “bad for bonds”=bad for mortgage rates.]
“It’s the employment report. It wasn’t nearly as bad as some as feared, so we’re seeing a bit of unwinding of some bets that the economy was going to remain in the doldrums,” said Kim Rupert, a fixed income analyst for Action Economics.”
Link to full article: