09/13/2026
Long-term Treasury yields surged this week, with the 10-year reaching its highest level in nearly three years and the 30-year hitting its highest level since 2007. The rise in bond yields pushed mortgage rates higher, creating another challenge for homebuyers and affordability. Despite the recent increase in rates, the economy continues to show resilience, employment remains solid, and underlying inflation has shown signs of gradually improving. Housing demand has also remained surprisingly resilient given the current interest-rate environment. The Core inflation rate, which excludes food and energy, was 1% below the overall inflation rate, showing that much of the uptick in inflation since the Iran conflict began is due to high energy costs. Should energy costs moderate in the months ahead, Treasury and mortgage rates could begin to ease, which would improve affordability and provide a meaningful boost to housing activity.
Long-term Treasury yields surged this week, with the 10-year reaching its highest level in nearly three years and the 30-year hitting its highest level since 2007. The rise in bond yields pushed mortgage rates higher, creating another challenge for homebuyers and affordability. Despite the recent in...