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Mortgage rates climb to highest level in more than 3 months as Iran war reignites inflation fears

  • On Thursday, Freddie Mac reported the average 30-year fixed mortgage rate rose to 6.22% from 6.11% last week, marking the highest level in nearly four months.
  • Rising energy prices linked to the conflict with Iran have lifted inflation expectations, rattling financial markets and pushing yields higher over the past three weeks.
  • The Federal Reserve voted Wednesday to leave its benchmark rate at 3.5% to 3.75%, while the 10-year Treasury yield hovered around 4.27% on Thursday afternoon.
  • Realtor.com senior economist Anthony Smith noted moderating inflation at 2.4% would typically support lower costs, yet mortgage applications fell 10% last week, the Mortgage Bankers Association reported.
  • Fed Chair Jerome Powell stated the current 3.5% to 3.75% range is within neutral territory but added it is "too soon to tell" how Middle East conflicts will affect the economy.
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Krem2 News broke the news in Spokane, United States on Thursday, March 19, 2026.
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