We've heard it before: Bad news for the economy can be good news for mortgage rates. The government shutdown has now surpassed the two-week mark, and for the most part, the 10-year Treasury yield has been declining. Here's what that means for mortgage rates. The impact on mortgage rates during the government shutdown The 10-year Treasury note, a debt instrument issued by the U.S. government, moves in tandem with mortgage rates, with a roughly two-percentage-point spread between them. For example, if the ...