Yes, and that’s exactly right. Many people think the FED sets all interest rates but as you know they only set one, the overnight bank rate. That has some influence over the rest, mortgage rates are set off a markup from the 10yr Treasury rate every morning for example.
When I was selling real estate we used to wait for word every morning on the rate for the day for people who had contracts but were “floating” the rate, hadn’t locked it yet in hopes it would go down.
One night around 1995, the 10yr jumped from about 7% to 8% overnight, no warning. Blew up a lot of floaters.
“One night around 1995, the 10yr jumped from about 7% to 8% overnight, no warning”
Back then you only had the CBOT night session, closing at 8:30, no 24/7 trading like today.