New York, Jan 11, 2026, 18:32 EST — Market closed
- Rocket jumped 9.65% on Friday following Trump’s announcement of a $200 billion mortgage bond purchase plan
- Traders are debating if this shift will actually bring mortgage rates down enough to boost loan volumes
- Next up: Tuesday’s U.S. CPI report and new updates from housing regulators
Shares of Rocket Companies surged nearly 10% Friday following President Donald Trump’s announcement that he ordered $200 billion in mortgage-bond purchases, a move investors interpreted as aiming to lower mortgage rates.
U.S. markets were closed Sunday, putting the spotlight on upcoming moves: will the administration and housing agencies provide more clarity? And will bond markets continue pushing rates favorable enough to support mortgage demand?
Rocket finished Friday at $23.29, climbing $2.05, or 9.65%, on roughly 73.3 million shares changing hands. (Nasdaq)
The timing couldn’t be more crucial. Rocket’s mortgage arm reacts sharply to interest rates, and with borrowing costs stubbornly high, a lot of buyers and refinancers are holding back.
Trump stated the purchases are intended to reduce mortgage rates and monthly payments. Federal Housing Finance Agency Director Bill Pulte confirmed that Fannie Mae and Freddie Mac would carry out the buying but did not provide further details. (Reuters)
Traders are focused on the “spread” — the difference between the 30-year mortgage rate and the 10-year Treasury yield. TD Cowen analysts say recent moves might narrow that gap. Brian Jacobsen, chief economic strategist at Annex Wealth Management, cautioned that while demand could rise, supply issues may persist. Meanwhile, Jefferies projects mortgage rates need to drop from about 6.2% into the mid- to high-5% range to boost affordability and draw buyers back. (Reuters)
UWM Holdings, also in the mortgage lending sector, gained nearly 14% and ended Friday at $5.36. (Nasdaq)
Risks remain clear. Economists warn that even if the purchase proceeds, the effect on rates might be limited. At the same time, any surge in demand would likely run up against scarce housing supply, maintaining pressure on affordability. (Reuters)
Investors are also eyeing the upcoming batch of U.S. data that could shift rates. If inflation comes in hotter, Treasury yields usually climb, often driving mortgage rates up as well.
The upcoming near-term event is the U.S. Consumer Price Index for December 2025, scheduled for Tuesday, Jan. 13 at 8:30 a.m. ET. (Bureau of Labor Statistics)
