5-year Yields Drift Lower

5-year bond yields are slowly dropping.  The yield is now 2.54%.  That’s down from the 7-month closing high of 2.81%, set on June 10.

5-year yields are a key driver of fixed mortgage rates.  Typically, when yields drop, 5-year mortgage rates drop.  In the past few days we’ve seen a handful of lenders lower rates, but just 0.05% or so.

The Big 5 last raised mortgage rates on June 9, when the 5-year yield was 2.68%.