Mortgage rates drop and stocks rebound slightly

Mortgage rates drop and stocks rebound slightly

Mortgage rates declined for the third straight week , while stocks rallied on Friday after multiple days of losses this week.

The average 30-year mortgage rate was 7.18 percent this week, Freddie Mac reported Thursday. That marked a decline of 6 basis points from last week, with 1 basis point reflecting 0.01 percent.

The average 30-year mortgage rate has declined for three straight weeks, after hitting 7.4 percent in October. Mortgage rates have spiked amid rising bond yields and oil prices.

The average 15-year mortgage rate also declined, from 6.6 percent last week to 6.57 percent this week , Freddie Mac reported. The average 15-year rate, which homeowners typically reach for when they refinance, has declined for four consecutive weeks.

The S&P 500 and Nasdaq Composite also rallied Friday after the market endured heavy losses during Thursday’s session. The indices closed the day up 23 points and up 264 points , respectively.

The Dow Jones Industrial Average, though, finished the week down 237 points from closing time on Thursday. The Dow dipped by more than 700 points from Monday’s opening bell.

Stocks tanked on Thursday amid a wave of investors selling tech shares, as concerns mount over AI-related debt tech companies have racked up.

While mortgage rates declined and two major indices rose on Friday, Americans remained concerned about affordability — a major reason for Democrats’ sweeping midterm victories this week.

Democratic lawmakers and candidates campaigned on lowering the cost of living , as Americans face elevated gas prices due to the Iran war and persistently high grocery and healthcare costs.

Greater than 40 percent of voters told NBC News their family’s financial situation had gotten worse in the past two years , while 38 percent said it had stayed the same and 18 percent said it had gotten better.

Welcome to The Hill’s Business & Economy newsletter , I’m Max Rego — covering the intersection of Wall Street and Pennsylvania Avenue.

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Key business and economic news with implications this week and beyond:

The U.S. economy added 165,000 jobs in October, according to new data from the Bureau of Labor Statistics (BLS).

Democratic Rep. Maxine Waters (Calif.) officially launched her bid for chair of the House Financial Services Committee on Friday, after Democrats won control of the lower chamber in the midterms.

Elon Musk announced Friday that Tesla will wind down production of its Cybertruck next year after years of poor sales for the electric truck.

John Williams, the president of the Federal Reserve Bank of New York, said Friday inflation remains too high amid multiple price shocks.

Branch out with more stories from the day:

Inside the 3-way race to lead House Democrats’ education fight against Trump

House Democrats are champing at the bit over who will lead their efforts against the Trump administration’s education agenda in the next Congress.

Hill Insiders can read more via the link below.

Business and economic news we’ve flagged from other outlets:

Could the ‘blue tsunami’ jolt the US job market back to life? ( CNN )

‘Developer in chief’: White House throws weight behind permitting bill ( Politico )

New York outpaces SF tech job growth, study finds ( Semafor )

To congressional Democrats, President Trump’s decision to promote aide Stephen Miller to serve as his chief of staff meant two things: an elevation of the aide’s extremist views and a refusal to heed the will of voters who delivered the left a historic victory. Read more

Rep. James Comer (R-Ky.), the chair of the powerful House Oversight and Government Reform Committee, said Friday “there’s a lot of questions” in the Republican conference about Defense Secretary Pete Hegseth as Rep. Thomas Massie (R-Ky.) prepares for an impeachment push next week. Read more

Opinions related to business and economic issues submitted to The Hill:

You’re all caught up. See you next week!