Jul. 22 at 3:21 PM
Growing home inventory in many markets is supporting more purchase activity,” said Mike Fratantoni, senior vice president and chief economist at the MBA. “Incoming data showed that inflation dropped in June, but with oil prices spiking again, that improvement seems unlikely to continue in July data, and mortgage rates are likely to remain higher as a result.”
Mortgage rates moved even higher to start this week, matching their last high from mid-May, according to a separate survey from Mortgage News Daily. New escalations in the war with Iran overshadowed last week’s cooler-than-expected inflation reports.
“For those who want to keep the analysis simple, fuel prices do a good enough job explaining the move. In fact, August gasoline futures also just hit their May 19th highs this week--perfectly aligning with the round trip in rates,” wrote Matthew Graham, chief operating officer at Mortgage News Daily.
$ZG