(Adds details on the latest U.S. mortgage data)
NEW YORK Oct 12 U.S. mortgage refinancing
activity fell to its lowest level since June last week as the
average interest rate on 30-year fixed-rate mortgages posted its
biggest rise in seven months, the Mortgage Bankers Association
said on Wednesday.
The group's seasonally adjusted index on applications for
refinancing fell 8 percent in the week ended Oct. 7 to its
lowest levels since the last week in June, MBA data showed.
The interest rate on 30-year mortgages, the most widely home
loan type in the United States, averaged 3.68 percent in the
latest week, up from 3.62 percent from the prior week. The 0.06
percentage point rise was the biggest weekly increase since
Mortgage rates have risen in step with U.S. Treasury yields
following encouraging domestic economic data and higher yields
on European government bonds on speculation the European Central
Bank might taper its bond purchases.
Benchmark 10-year Treasury yield has posted a
series of multi-month highs in recent days. It touched 1.801
percent early Wednesday, which was its highest level since early
(Reporting by Richard Leong; Editing by Chizu Nomiyama)