Mortgage Rates Soar to 10-Week High on Hotter-Than-Expected Inflation

U.S. mortgage rates shot up to a 10-week high this week as hotter-than-expected inflation data challenged the narrative that the economy is in a steady disinflationary trend. The 30-year fixed-rate mortgage rose to 6.77 percent from 6.64 percent last week, according to mortgage buyer Freddie Mac. Borrowing costs on 15-year fixed-rate mortgages also rose, pushing the average rate to 6.12 percent from 5.90 percent last week. The rise in mortgage rates came as the 10-year Treasury yield spiked after a hotter-than-expected retail inflation report earlier this week, and again on Friday, after wholesale prices rose more than expected. “On the heels of consumer prices rising more than expected, mortgage rates increased this week,” Freddie Mac said in a statement....