Besides the economic data and FOMC meeting this week, we also need to watch for movement in stocks. It is still considered corporate earnings season and there are a couple of big-named companies reporting their results this week. Generally speaking, good news for stocks is considered bad news for bonds and mortgage rates. If those earnings reports show disappointing results, stocks should retreat, drawing funds into bonds. This scenario can happen anytime but may be a little more prevalent this week than others.
Overall, Wednesday is the best candidate for most important day of the week due to the ISM Index and FOMC meeting, but the Employment report makes Friday a possibility also. The calmest day will probably be tomorrow unless something unexpected happens. Everything points towards another very active week for the markets and mortgage rates, so please keep an eye on them if still floating an interest rate and closing in the near future.