US mortgage applications slump 2.7pc as mortgage rates rise.
US mortgage applications decreased 2.7% in the week ended 4 September, according to the Mortgage Bankers Association, more than reversing the 0.8% increase seen a week earlier.
Source: Sharecast
The drop came as benchmark mortgage rates rose sharply, with the 30‑year fixed rate hitting a 15-month high of 6.58%, amid high energy prices, elevated debt supply, and widening deficits.
Applications to refinance a mortgage, which are typically more sensitive to short‑term interest rate moves, fell by 6% week-on-week, while applications to purchase a home were broadly flat.
Reporting by Iain Gilbert at Sharecast.com
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