Mortgage Rate Predictions For The Next 7 Days (January 28, 2010)

When the economy hit the skids in September 2008, the government made a massive intervention. In addition to formal stimulus from Congress, the Federal Reserve did what it could to loosen up the credit markets. One of the Fed's most well-known programs was its commitment to buy $1.25 trillion in mortgage-backed bonds in the open market. Internal studies from the Fed say the program lowered rates by 1 percent last year. The program ends March 31, 2010.