Mortgage rates were nicely lower on Friday, though not quite as nicely as we would hope or expect. Why is that? Simply put, the bond market (which underlies and most directly affects mortgage rates) suggested an even stronger improvement. Bonds provide the raw ingredients and mortgage lenders translate those into their daily rate sheet offerings–sometimes several times a day depending on bond market volatility.
More than a few lenders adjusted their rate sheets favorably on Friday, but they were cautious in that endeavor. This is fairly typical on Friday afternoons–especially in mid-December. The caution was further reinforced by the volatility nature of the underlying market motivations (i.e. the reaction to the US/China trade deal news).