Highlights
There wasn't much change in mortgage applications during the June 15 week, according to Mortgage Bankers' data that show steady application rates and mostly steady loan rates. Purchase applications slipped 3.0 percent to a still solid 450.9 level that contrasts with weakness in Monday's NAHB's housing market index for June. Refinancing applications slipped 4.2 percent to 1,776.8 but the category still represented 38.0 percent of all applications, unchanged in the week.

Thirty-year mortgage rates, after soaring nearly 30 basis points in the prior week, were also little changed at 6.60 percent vs. 6.61 percent. Fifteen-year loan rates were unchanged in the week at 6.28 percent but 1-year adjustable rates did spike, up 22 basis points to 5.70 percent. Loan rates will be a key factor in the outlook for the housing recovery, which was set back earlier this year by tightened lending standards following shake-out in the sub-prime mortgage industry. Yields in the Treasury market have settled back the last few sessions and will limit further increases in loan rates.

Yesterday saw soft housing start data for May though permits bounced up a bit. Next week will see existing home and new home sales data for May. The housing market is still the economy's soft spot.