European stocks improved for the second straight day with this mornings opening.

Poland, Hungry, Australia and the ECB have all cut rates, following the Fed's lead, as there has been little to no economic improvement throughout the world.

The Refinance Index increased to its highest mark since December and the Purchase Index increased to its highest level since May of 2010.

As the equity markets continue with no major decreases, any rate improvement is not likely to drive rates back to last weeks levels.  Volatility is likely to increase as various economic measurements are released and pending on how they compare to the projected forecasts and measurements.

The Treasury auctioned 24 Billion of 10 yr. notes, resulting in a decrease of 3bps. from this mornings opening.  This may result in minor rebate improvements.

WE SUGGEST CAPITALIZING ON ANY REALIZED GAINS TO LOCK IN YOUR RATE.

- Michael Corboy