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

In the United States, mortgage application volumes experienced a decline of 4.2% for the week ending April 25th, building on the previous sharp fall of 12.7%—the steepest decrease seen in six months. This significant drop in application volumes occurred despite a slight easing in benchmark mortgage rates, indicative of the ongoing economic uncertainty and signs of a weakening labor market affecting housing demand. Applications for mortgages intended for the purchase of new homes declined by 4% over the week and 7% over the month, notwithstanding the notable reduction in mortgage rates since late March. Similarly, applications for refinancing home loans, which tend to react more acutely to short-term shifts in interest rates, saw a 4% decrease over the same period.