NEW YORK (Reuters) - U.S. 30-year mortgage rates rose in the latest week, rebounding from five-month lows in step with a rise in bond yields, following the first round of the French presidential election on Sunday, according to mortgage finance agency Freddie Mac (FMCC.PK) on Thursday.
The borrowing cost on 30-year mortgages, the most widely held type of U.S. home loan, averaged 4.03 percent in the week ended April 27, up from the prior week’s 3.97 percent, it said.
The benchmark 10-year Treasury yield US10YT=RR had risen earlier this week as investors scaled back their safe-haven bond holdings on expectations centrist Emmanuel Macron would beat anti-EU Marine Le Pen in the French presidential run-off on May 7.
In early Thursday trading, the 10-year Treasury yield was down over 1 basis point at 2.296 percent after hitting a two-week peak at 2.350 percent on Wednesday, Reuters data showed.
“Despite recent swings in mortgage rates, the housing market continues to show signs of strength,” Freddie Mac’s chief economist Sean Becketti said in a statement.
Reporting by Richard Leong; Editing by Chizu Nomiyama and Bernadette Baum