By Telis Demos
The surge in stock prices has so far left mortgage lenders stuck at home.
Shares of home-loan originators Rocket Cos., Mr. Cooper Group, Guild Holdings and loanDepot were all still trading lower as of late afternoon Wednesday, as was online real-estate brokerage Redfin. UWM Holdings was up, but by less than 1%. Overall, S&P 500 financial companies were up by over 7%.
This may be because longer-term bonds are so far not joining in the relief rally. Ten-year Treasury yields remain up around 0.04 percentage point on the day, at around 4.35%. Mortgage rates are closely tied to 5- or 10-year Treasurys.
Rising yields are dampening hopes for a rebound in mortgage refinancing, which would be driven by a drop in rates. Mortgage News Daily, a tracker of home-lending rates, showed 30-year fixed rates at 7.00%, according to its most recent daily update. That is below where it started the year at 7.07%, but hardly anyone's idea of a bargain.
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(END) Dow Jones Newswires
April 09, 2025 15:43 ET (19:43 GMT)
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