Last week's plan to get federal housing agencies on a $200 billion buying spree of mortgage bonds looks unlikely to get mortgage rates down further by itself, according to many banks. And a fresh challenge to Federal Reserve independence potentially ​complicates efforts to push benchmark long-term Treasury yields lower. Last Thursday, Trump's mortgage bond initiative clearly pointed in that direction. While the move would not cut mortgage rates directly, he added, it may help by further reducing the spreads on Fannie and ⁠Freddie over Treasuries. The 30-year Treasury yield at just over 4.8% is exactly where it was on Trump's inauguration.

Source: The Edge Markets January 14, 2026 19:17 UTC