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Checking with a few sources today on trading desks, but it looks like the bailout is both a blessing and a curse for mortgage rates.   The banks needed the bailout to be saved, however the expected excess supply of mortgage bonds to be put out on the open market will reduce their prices, leading to higher rates.   The low interest rates that we experienced shortly after Fannie & Freddie were put into conservatorship have quickly spiked since the passage of the government bailout.   More updates to follow soon on market chatter.