On Friday, the 10 year Treasury note fell to its lowest level since September 2005, 4.01%. Typically 30 year fixed mortgages are tightly associated with the 10 year note. As the 10 year Treasury moves, so does the mortgage rate. But the gap between these two rates have widened substantially in June the difference between the 10 year and 30 year fixed mortgage was 2.22% last week as opposed to just 1.52% in June.

Why Did They Move Together To Begin With?