Fed Chair Jerome Powell is apparently waiting for the tariff “war” to settle down before he pushes for interest rate cuts. Meanwhile, rising mortgage rates are hurting consumers and the mortgage industry.
Mortgage applications decreased 12.7 percent from one week earlier, according to data from the Mortgage Bankers Association’s (MBA) Weekly Mortgage Applications Survey for the week ending April 18, 2025.
The Market Composite Index, a measure of mortgage loan application volume, decreased 12.7 percent on a seasonally adjusted basis from one week earlier. On an unadjusted basis, the Index decreased 11 percent compared with the previous week. The seasonally adjusted Purchase Index decreased 7 percent from one week earlier. The unadjusted Purchase Index decreased 6 percent compared with the previous week and was 6 percent higher than the same week one year ago.
The Refinance Index decreased 20 percent from the previous week and was 43 percent higher than the same week one year ago.
Overall mortgage application activity declined last week, as rates increased to their highest level in two months. The 30-year fixed rate rose for the second straight week to 6.9 percent, an almost 30-basis-point increase over two weeks.
The 10Y-2Y Treasury yield curve is steepening.
Fed Chair Jerome Powell. Nyuk, Nyuk, Nyuk!
