Weekly Viewpoint by Larry Baer

Market Commentary for this week by Larry Baer: Considering the broad credit downgrades issued last Friday by rating agency Standard and Poor’s to 9 of the 17 euro-zone countries it is highly likely capital will continue to flow out of Europe and into U.S. dollar denominated assets like Treasury debt obligations and mortgage-backed securities. If this assessment proves accurate, expect the trend trajectory of mortgage interest rates to remain relatively flat this week.