Mortgage-Bond Yields That Guide Home Loans Soar to 6-Month High
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Yields on Fannie Mae and Freddie Mac mortgage securities that guide home-loan rates jumped to their highest levels in almost six months, suggesting borrowing costs will continue to climb from record lows.
Fannie Mae’s current-coupon 30-year fixed-rate mortgage bonds rose to 4.04 percent as of 5 p.m. in New York, according to data compiled by Bloomberg. Yields, whose changes typically create similar movements in loan rates, have increased from 3.27 percent on Nov. 4.