"Refinance Demand Surges as Mortgage Rates Hit 7-Week Low"

Mortgage applications in the U.S. rose by 1.9% for the third consecutive week as 30-year interest rates dropped to a seven-week low, driven by expectations of lower inflation reducing long-dated Treasury yields. Refinancing applications surged by 7%, compensating for a 1% decline in mortgage applications for home purchases. The uptick in mortgage activity has positively impacted stocks of mortgage-sensitive real estate firms, with some REITs experiencing gains ranging from 12% to 16% over the past month.