Mortgage rates recovered early in the week after hitting their highest levels in nearly 2 months last week. But the passage of a House bill paving the way for an eventual tax bill sent rates and stocks higher on Thursday. Then, an ultra-low reading of the unemployment rate and a surge in wage data kept rates under pressure on Friday.
Rates are now officially at 2-month highs, with the average lender quoting 4.0% on top tier conventional 30yr fixed scenarios.
Next week begins on Tuesday for markets and most mortgage lenders, due to Columbus Day on Monday. Volatility remains a risk for rates.