Rising tensions between the U.S. and Iran are driving up oil prices and bond yields, increasing borrowing costs for consumers and businesses.
Higher bond yields are raising mortgage rates, with the 30-year fixed mortgage rate reaching its highest level since last August.
The rekindling of the Iran war has the bond market worried about inflation again, driving up borrowing costs for homebuyers and businesses alike.
The average 30-year fixed mortgage rate hit 6.58% this week, its highest level since last August, according to Freddie Mac. The yield on the 10-year U.S. Treasury yield—a key input into mortgage rates and business borrowing costs—also soared to its highest level this year and breached 4.7% in mid-afternoon trading.
The sharp rise in yields follows hostilities in the Middle East, with the resumption of U.S.-Iran attacks and the Iran-backed Houthis in Yemen also striking Saudi Arabian oil tankers.
#Iran #bond #yields #august
Higher bond yields are raising mortgage rates, with the 30-year fixed mortgage rate reaching its highest level since last August.
The rekindling of the Iran war has the bond market worried about inflation again, driving up borrowing costs for homebuyers and businesses alike.
The average 30-year fixed mortgage rate hit 6.58% this week, its highest level since last August, according to Freddie Mac. The yield on the 10-year U.S. Treasury yield—a key input into mortgage rates and business borrowing costs—also soared to its highest level this year and breached 4.7% in mid-afternoon trading.
The sharp rise in yields follows hostilities in the Middle East, with the resumption of U.S.-Iran attacks and the Iran-backed Houthis in Yemen also striking Saudi Arabian oil tankers.
#Iran #bond #yields #august
4 days ago
