New York, Feb 1, 2026, 05:44 EST — Market closed.
- Shares of Rocket Companies closed Friday at $17.93, tumbling 13.7%, on volume well above recent averages
- PennyMac Financial Services and UWM Holdings Corporation, both mortgage lenders, also took a steep hit
- Investors are eyeing U.S. jobs data due Feb. 6, along with upcoming Federal Reserve statements, for clues on the next rate move
Rocket Companies shares finished Friday down 13.7%, closing at $17.93 after swinging between $17.06 and $20.10 during the day. Trading volume reached roughly 87.1 million shares.
The decline thrust the rate-sensitive mortgage sector back into focus, as investors reevaluated the U.S. interest rate outlook following President Donald Trump’s choice of former Fed governor Kevin Warsh to replace Fed Chair Jerome Powell. “Markets are calibrating to Trump’s pick of Kevin Warsh,” said Michael Hans, chief investment officer at Citizens Wealth. (Reuters)
This hits Rocket hard since mortgage lenders typically move in step with the bond market. As Treasury yields climb, borrowing costs tend to jump too, quickly dampening mortgage demand—starting with refi volumes, then home purchases.
Pressure intensified after PennyMac’s profit missed forecasts, triggering a selloff that pulled Rocket and other lenders down. PennyMac shares plunged 33.2% on Friday, with UWM dropping 13.3% and loanDepot sliding 6.0%. (Bloomberg)
Rocket’s drop was accompanied by heavy trading, with volume hitting roughly 87.0 million shares compared to the 50-day average of about 26.3 million. The stock now sits nearly 26% below its peak on Jan. 16. (MarketWatch)
When markets reopen Monday, traders will see if the group can hold steady or slides further. Even a slight shift in yields could tip the entire complex.
Rocket didn’t move on any company-specific news Friday. Instead, it behaved more like a sector proxy, reacting to shifts in rates, sentiment, and investors’ take on upcoming economic data.
The risk cuts both ways. Rising yields could push mortgage rates higher, choking off demand and squeezing originators and servicers. But if yields retreat, battered lenders might bounce back fast.
The Fed’s next key update is the release of minutes from the January 27–28 policy meeting, set for Feb. 18 at 2:00 p.m. ET. Investors will pore over these notes, searching for clues on how quickly the central bank might adjust rates. (Federal Reserve)
The immediate focus is the U.S. Employment Situation report for January, set for release on Feb. 6 at 8:30 a.m. ET. January’s consumer-price data follows on Feb. 11. Note, the Bureau of Labor Statistics has cautioned that these dates might change due to a government services lapse. (Bls)
