NEW YORK, Feb 4, 2026, 06:42 EST — Premarket
- Rate trackers indicated 30-year fixed rates were mostly steady, with a slight uptick early Wednesday.
- Treasury yields remained in the spotlight following an unexpectedly strong U.S. manufacturing report.
- Housing-related stocks stayed steady as investors awaited new mortgage demand figures.
U.S. mortgage rates nudged up early Wednesday, with the average 30-year fixed-rate conforming loan ticking to 6.092%, per mortgage data firm Optimal Blue. (Fortune)
This is significant because potential buyers kick off the year facing tight affordability thanks to elevated prices, while the majority of homeowners see little reason to refinance unless rates drop substantially.
Lenders faced a week marked by slim margins and rapid repricing. With rates this volatile, the daily moves carry nearly as much weight as the actual levels.
Mortgage News Daily’s key daily index showed the average 30-year fixed rate ticking up 3 basis points to 6.20% on Tuesday, hovering near a two-week peak. Meanwhile, the 15-year fixed stayed steady at 5.76%. The site linked the rise to falling prices in mortgage-backed securities — those bonds made from pools of home loans — which usually cause mortgage rates to climb when their value drops. (Mortgage News Daily)
Bonds came under pressure after a surprise surge in U.S. factory activity on Monday. The Institute for Supply Management’s manufacturing PMI climbed to 52.6 in January from 47.9 in December, far exceeding economists’ forecasts of 48.5. New orders also jumped sharply, hitting 57.1. “Tariffs and further tariff threats are still freezing small businesses,” noted Mark Streiber, an analyst at FHN Financial. (Reuters)
Benchmark long-term yields held steady early Wednesday, following earlier gains this week, with the U.S. 10-year Treasury yield hovering near 4.28%. Since it vies with mortgage bonds for investor interest, the 10-year yield generally sets the tone for mortgage rates. (Trading Economics)
Rates traders are zeroing in on the long end of the curve as the market braces for a new Federal Reserve chair. Even if short-term rates dip, investors believe debates around trimming the Fed’s balance sheet will keep upward pressure on long-term yields. “It’s a tough policy to administer,” said Jim Barnes, director of fixed income at Bryn Mawr Trust. (Reuters)
Fed Governor Stephen Miran told Fox Business on Tuesday he’s looking for “a little bit more than a point of interest rate cuts” this year, saying policy remains too tight. Yet mortgage markets have reacted more to moves in long-term yields than to chatter about immediate rate cuts. (Reuters)
Housing stocks edged higher before the open. Lennar climbed about 3.4% in premarket trade, while D.R. Horton gained roughly 2.7%. The bounce came after homebuilders surged Tuesday on news that they’re drafting a plan to build up to one million “Trump Homes.” But a White House official told Bloomberg that the administration is not actively pursuing the proposal, Reuters reported. (Reuters)
Still, mortgage rates could head the other way. Should investors return to safe-haven assets or if new inflation numbers fall short of expectations, lenders might drop their quotes sharply. On the flip side, a spike in long-term yields would push rates higher, probably hitting prime borrowers’ rate sheets first.
Traders are set to eye the MBA’s weekly mortgage applications report, out at 7:00 a.m. ET, looking for hints that demand might be slipping. The January jobs report is slated for Feb. 6, with CPI data following on Feb. 11. However, the Labor Department has announced a delay to the payrolls release due to a partial federal shutdown. (Investing)
