Mortgage News Daily: Trump Deal Sends Mortgage Rates to 6.58%
Mortgage news daily put 30-year rates at 6.58% on Sunday night, with the 10-year Treasury yield at 4.43% after President Trump said a deal had been agreed to with Iran and that “it should be signed on Friday.” The move gave mortgage borrowers a slightly better rate backdrop, but the Fed’s hawkish tilt still limits how much further rates can ease near term.
Trump Deal Hits Yields
4.43% on the 10-year yield followed the Iran deal announcement and a pullback in oil risk, which the article says helps bring borrowing costs lower. Oil was at $81 on Sunday night, down from the conflict highs that helped push the 10-year yield to 4.68% and mortgage rates to 6.75% at their worst.
4.46%-4.48% was the yield zone the author outlined on May 25 as the level consistent with the market pricing the conflict as over, and Friday’s move into that band was reached before Sunday’s follow-through. The latest reading left rates below the worst levels but still well above the levels borrowers saw before the conflict eased.
Fed Week Keeps Pressure
6.58% mortgage rates are still being set in a market where the Fed’s policy stance matters for 65%-75% of the move, according to the article. Inflation remains above target, labor data has improved, and that combination keeps the central bank from sounding ready to talk about rate cuts at this week’s meeting.
4.35% and 4.24% are the lowest short-term levels the author says rates can reach for now, which means the current decline has a floor unless Fed policy or inflation changes more decisively. The article also says the hawks may try to drop the easing bias and say they could hike rates if inflation does not improve.
Mortgage Spreads In 2026
2026 has stayed above a 6% handle for mortgage rates because spreads are much better now than in 2023, 2024, 2025 and 2026, according to the article. That leaves borrowers with rates that have improved from the worst conflict levels, but not enough to signal a clean break below 6% on current inputs alone.
$100 oil would have created more upside risk for rates, while Sunday night’s $81 reading left that pressure lighter as the Iran news reduced the chance of a deeper oil shock. If the bond market keeps treating the conflict as easing, the mortgage rate path should keep leaning lower; if the Fed keeps the hawkish bias, the drop likely stays limited.
