Free Trial

Mixed Mortgage Undercurrents And Signs Of Tighter Lending Conditions

US DATA
  • MBA mortgage applications fell a seasonally adjusted 2.2% last week as they chipped away at the 3.9% increase in the week prior.
  • Purchase applications fell further (-4.0% after -2.7%) whilst refinance applications consolidated a particularly firm increase (0.3% after 15.2%) for highs since Aug 2022.
  • Purchase applications have seen little relief from a further decline in the 30Y mortgage rate, down another 5bps to 6.82% for technically the lowest since February.
  • This easing hasn’t been reflected in jumbo loans though, where the rate actually ticked up 2bps to 7.09%.
  • It leaves a regular-jumbo spread of -27bps at one of the most negative readings since late 2020/early 2021. That can be a sign of a tightening in lending conditions but would need to be repeated for what can be volatile data.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.