US mortgage applications surge 9.2pc

(Sharecast News) - US mortgage applications surged 9.2% in the week ended 5 September, according to the Mortgage Bankers Association of America. Last week's drop fully erased the drop from three consecutive weeks following a 15bps plunge in benchmark mortgage rates, which fell to their lowest in nearly a year, as a wave of disappointing labour market data pushed down yields on long-dated Treasury securities.

Applications to refinance a mortgage, which are more sensitive to short-term changes in interest rate, shot up 12.2% week-on-week, while applications to purchase a home rose by 6.6%.



Reporting by Iain Gilbert at Sharecast.com