Rates and cost began to increase from the first week in November after Ben Bernanke, Federal Reserve Chairman, announced that the Fed would be purchasing $600 billion dollars in Treasury Bonds in 2011, to reduce interest rates. Then, after the Fed reiterated on December 14, 2010 that they would continue with the $600 billion purchase in 2011, rates and cost increased to May 2010 levels, before rates began to decrease to historic lows. From a borrower's viewpoint, this does not make sense because rates should be decreasing instead of increasing. Again, the market opposes what the government announces.