It’s no secret that there was a massive market reaction to the 2016 election. Even though markets don’t expect the range of potential outcomes to be nearly as wide this time, there’s no question that at least some fraction of the same amount of volatility is at stake in 2020. Mortgage lenders know this just as well as anyone. And they can defend against that volatility by raising rates.
On top of strategic considerations, the bond market (which underlies mortgage rates) was also in weaker shape today. With that, it was an easy decision for lenders to bump mortgage rates higher compared to yesterday. Some of them did this more aggressively than others–likely a function of pre-election defensiveness. In those cases, if bond markets survive the election with stability or improvement, those lenders would bring rates back down.
Either way, rates have been reluctant to move nearly as much as the bond market has suggested. This has to do with lenders keeping rates higher than they otherwise would be in order to throttle unprecedented levels of demand on capacity.