MTA Hops Higher

The MTA in March came in at 4.0108%, about 12 basis points above the previous month’s level, according to the Federal Reserve Statistical Release. A year earlier, the level was much lower at 2.3467%.

The MTA’s calculation is based on the 12-month average of the 1-year T-bill’s monthly average yield, which in March was 4.77%, the Fed said.

As of Tuesday, the yield on the 1-year T-bill reportedly stood at 4.85%.

The MTA competes with the 6-month LIBOR, the COFI and 1-year T-bill, which have all been on uninterrupted ascents, for adjustable rate mortgage applications, which the Mortgage Bankers Association said today comprise about 29% of total 1003s.