Highlights
In what could be a good sign for the housing market, the Mortgage Bankers Association's purchase index jumped 7.2 percent in the June 8 week to 464.7, lifting the four-week average to 440.8. The gain was made despite a huge jump in mortgage rates, averaging 6.61 percent for 30-year fixed mortgages in a weekly jump of 26 basis points. The ongoing rise in Treasury rates points to yet higher mortgage rates ahead.

High rates haven't slowed refinancing yet with the related index up 5.6 percent to 1,854.8. The rise in rates may be encouraging fence sitters to hurry with refinancing before rates go even higher. Refinancings are still making up only a moderate share of 38.0 percent of total applications, unchanged in the week.

Today's report offers badly needed good news on the housing market and may add new pressure on Treasury rates through the day. Next data on the housing market will be Monday with release of the NAHB housing market index.