economy
Mortgage rates surge to nearly four-week high as Iran headlines impact markets
Negative headlines on the Iran war pushed bond yields higher, and mortgage rates followed.
TL;DR
- Mortgage rates rose significantly on Wednesday, reaching their highest level since April 3.
- The increase is attributed to President Trump's comments on maintaining the U.S. naval blockade against Iran, which boosted oil prices and bond yields.
- Mortgage applications to buy a home surged by 1% last week, and 21% compared to the same period last year.
- Increased market supply and easing home prices in some areas, along with higher buyer traffic, suggest consumers may be adapting to higher rates and economic uncertainty.
- The Federal Reserve is not expected to alter interest rates at its upcoming meeting.