Rising longer-term interest rates yielding 5.25%10-year Treasury marked the highest level in ten months. In early March, the 10-year yield was 4.5%. Because many consumer and corporate loans are tied to the 10-year Treasury, effective loan interest rates are rising.
Home builders are concerned by large home inventories, rising interest rates, and tighter lending standards. This may be the final push for the weakened housing market and the general economy that has relied housing for growth in the past five years.