Highlights
The Mortgage Bankers Association reported a 2.2 percent increase its purchase application index to 414.3, nudging the four-week average back over 400 at 400.6. For six weeks the index has been stable near 400, a soft level but still the direction of movement has been steady not lower.

The refinance index rose 3.5 percent to 2,312.2 as the proportion of refinancings continued to increase, up 1 tenth to 46.1 percent. Mortgage rates are very favorable with 30-year fixed averaging 6.03 percent, down 1 tenth in the week.

Troubles with subprime loans underscore how important the housing market is to the economy. It's currently on a slowdown with evidence inconclusive whether the worst is over. February housing data unroll next week beginning with the housing market index.