FX.co ★ US Mortgage Applications Fall for 3rd Week

US mortgage applications declined by 2.5% in the final week of May, following an 8.5% drop in the previous week and marking a third consecutive weekly decline, according to data from the Mortgage Bankers Association. This downturn occurred despite a slight retreat in benchmark mortgage rates, which moved lower in line with longer-term yields as energy prices eased from their recent highs. Applications to refinance existing mortgages, typically more sensitive to short-term rate movements, fell by 2.3%, extending the more than 18% slump recorded a week earlier. At the same time, applications for home purchase mortgages decreased by 2.9%.