Mortgage rates moved lower by an almost imperceptible amount today.  The improvement was enough to bring the average lender to the lowest levels since the end of August, 2018.  In other words, these are the best rates in 4 months. 

2 months ago, all hope seemed lost.  Rates were the highest in years and there were few reasons to expect the pain to subside, short of a massive meltdown in stocks or a big picture shift in the economy.  As you're likely aware, stocks indeed tanked heading into the 4th quarter.  And as I've mentioned many times since, that stock weakness was largely responsible for rates' ability to reclaim lost ground.

This raises serious questions for the beginning of 2019 because the economic data and other indicators aren't necessarily looking like they justify all the pain we've seen in stocks.  Granted, it's a cliche assertion in the financial media, but there is certainly a risk of a bounce back in January.  With that in mind, to whatever extent stocks are able to bounce back, there could some upward pressure waiting for mortgage rates on the other side of the New Year.  To be clear, this isn't a prediction--simply a reminder of the potential volatility ahead.