Most mortgage and housing stocks tracked by National Mortgage News were up on the day following Pres. Trump's announcement on Truth Social pausing most tariffs.
The exception is China, where he pushed the tariff up to 125% effective immediately due to "the lack of respect" towards the markets.
Last Friday, the housing sector stocks were the least of the
But after the weekend, the 10-year Treasury yield, used to price mortgages, closed at 4.26% on Tuesday, up 27 basis points from its Friday close.
In the initial aftermath of the Trump announcement, the 10-year Treasury yield remained elevated at 4.37% at 1:45 p.m., although that is down from its intraday high of 4.47%.
This is also keeping mortgage rates higher for now.
"Spreads in Treasury and mortgage markets are ugly," analyst Chris Whalen said in a post-announcement message on X (formerly Twitter).
Zillow's rate tracker has the 30-year fixed rate mortgage at 6.99% midday on Wednesday, up 6 basis points on the day and 27 basis points from last week's average of 6.72%. Lender Price data on the National Mortgage News website had that product over 7%.
Industry stocks were in the red most of the day, with the exception of Better Home & Finance, which was above its prior close. Rocket, UWM and LoanDepot each saw a sharp increase in stock price within the hour after the tariff pause announcement was made, but largely started trending back down again after 2 p.m.
Both Fannie Mae and Freddie Mac started the day up from their prior close, moved briefly below that before starting the upward climb again.
As of 1:45 eastern time, the Dow Jones Industrial Average was up 2,123 points on the day.
While the 10-year Treasury normally attracts investors in a falling stock market, as it is seen as a safe haven,
