Mortgage rates tick up following Fed move, though they’re still near 2025 lows

Group 1 - Mortgage rates increased after the Federal Reserve's 25 basis-point cut, with the average 30-year fixed mortgage rate rising to 6.22% [1][2] - The Fed's interest rate decisions influence mortgage rates, but they do not directly control them, as noted by Fed Chairman Jerome Powell [2][4] - Despite the Fed's rate cuts, mortgage rates have historically risen during similar periods, indicating uncertainty in future trends [4][5] Group 2 - The 10-year Treasury yields initially fell but ended higher, influenced by a significant drop in unemployment claims [3] - Freddie Mac reported mortgage rates at 6.26%, the lowest since early October 2024, although much of the data was collected before the Fed's cut [4] - There is a notable increase in refinancing demand, surging 58% week-over-week and up 70% year-over-year, alongside a 3% rise in mortgage applications for home purchases [6]