FNMA is UP 28 bps on the day with about 58 minutes of trading left on the day. Safe haven money is driving up treasury notes as well.

We are in a good place for another rate rally. 30 year fixed rates are under 5% now for conventional and FHA loans.

Do you know anyone in need of a refinance who maybe didn't get in before?

Look for purchase loan activity to increase even though the Mortgage Bankers association noted that applications are down.

Note on that: it is not necessarily the "rates" alone that drives people to the market. It is generally on the good advice from a trusted source that can get a buyer "off the fence." I see the signs that the markets are leveling out and hopefully we can begin to see a slow and sustained growth over the next several years in our economy...tell your friends!

OIL news...BP has actually declared today that they have found a "HUGE" oil reserve. Look for this with the decreased demand associated with Fall and Winter to bring the price of oil and then gasoline DOWN this fall. (It would be great to snap under 2.00/gallon again.) Interestingly: refineries have been simply adjusting their output to keep the "supply" low vs. demand. They are currently operating at 87.5% capacity which is good...but they have been operating much lower. Also: we are actually importing MUCH less oil than the same time as last year as demand is "weaker"... and this will eventually catch-up to the market in the form of less supply right about the time the price of crude is down in the $50 range again.

Check out the crude inventories report here: http://www.eia.doe.gov/pub/oil_gas/petroleum/data_publications/weekly_petroleum_status_report/current/txt/wpsr.txt

Have a great afternoon!

Chad