Mortgage rates increase by 7%when tariffs get into the bond market

The average rate on the popular 30-year fixed mortgage rose by 13 basic points on Friday to 7.1%, reports Daily’s mortgage news. This is the highest rate since mid -February.

Mortgage rates were on American American trips all week since Bond gives attention Spikes above in the middle of the week When new tariffs of President Donald Trump came into dozens of countries. Gives when Trump reduced the tariff rate in most countries After a few hours. However, Chinese import tariffs are currently 145%.

But the bonds again started selling on Friday, Despite the cool inflation report. The mortgage rates are weak on profitability on the 10-year treasure trove.

“There were a few bad weeks for bonds here and there over the career of most of those who live to read these words, but if your career has not started until 1981, you just survived the worst week you have ever seen in terms of the 10-year yield,” said Matthew Graham.

Graham said there were two ways to see where the bonds are traded today: “This is either the end of the worst week for the 10-year exit from 1981, or at the end of a rather average two weeks that correspond to the trend over the last 18 months.”

Friday, another one Monthly report on consumer mood came to much lower than expected. Inflation expectation increased from 5% in March to 6.7% in April, the highest level since 1981.

All this comes right in the heart of the comprehensive spring housing market. For most consumers, the house is their largest investment.

“Forget about housing in this environment, with backup loans, consumers are definitely concerned about the labor market, the housing will also be on the weak side,” said Nancy Lazar, Chief World Economist Piper Sandler, CNBC’s “Exchange” Friday.