This Valentine’s Day weekend saw a significant shift in the housing market as a weaker-than-expected retail sales report led to lower mortgage rates. The 10-year yield plummeted, causing mortgage rates to drop below 7% for the first time this year.
The past week has been marked by volatility in the bond market, especially after a period of relative stability in mortgage pricing. A closer look at recent events reveals the key moments that drove this change.
On Wednesday, the release of the Consumer Price Index (CPI) report sparked a notable increase in the 10-year yield. The CPI report was hotter than anticipated, prompting a jump from 4.52% to 4.66%. As a result, mortgage rates rose from 7.04% to 7.13%, according to data reported by Mortgage Daily News.
Source: https://www.housingwire.com/articles/mortgage-rates-dip-below-7-after-retail-sales-surprise