In this week’s Mortgage Porter Weekly, we cover the latest inflation data from May, rising unemployment claims, a potential breakthrough in the Iran conflict and what it could mean for mortgage rates, this week’s economic calendar, Fed Chair Warsh’s first rate announcement, and the morning MBS update. We also spotlight using a cash-out refinance for debt management — and share a quick favor to ask of you.
Last Week in Review
May CPI and PPI data confirmed that inflation remains elevated. Consumer prices rose 0.5% for the month and are up 4.2% from a year ago, with higher gas and energy prices as the primary drivers. On the jobs front, new unemployment claims increased for the third consecutive week to approximately 229,000, and continuing claims remain high — a sign that job seekers are taking longer to land new positions.
In geopolitical news, the U.S. and Iran appear to have reached an interim agreement to reopen the Strait of Hormuz, with a formal signing anticipated in Switzerland this Friday. If the deal holds, it could ease pressure on oil prices — which would be welcome news for mortgage rates.
Mortgage Rates: Optimal Blue Index
According to the Optimal Blue index, the average rate on a 30-year fixed mortgage as of Friday, June 12th, was 6.476%.
Please note: the Optimal Blue index reflects approximately 35% of mortgage transactions from lenders using their platform. It is not a rate quote. Your actual rate will depend on your credit score, loan-to-value ratio, and other individual factors. This data is shared for trending purposes only.
Economic Calendar: Week of June 15, 2026
- Monday: Empire State Manufacturing Index; Industrial Production & Capacity Utilization
- Tuesday: ADP Employment; Housing Starts
- Wednesday: Retail Sales; Pending Home Sales; Fed Rate Announcement
- Thursday: Jobless Claims; Philadelphia Fed Manufacturing Index
While there is a full slate of economic data this week, the Iran situation and oil prices are likely to be the bigger drivers of mortgage rate movement.
It’s Fed Week
Wednesday brings Fed Chair Warsh’s first official rate announcement. Markets widely anticipate no change to the federal funds rate at this meeting. The post-announcement press conference will be closely watched for any signals about the Fed’s future direction.
Morning MBS Update
As of 9:10 a.m. Pacific this morning, mortgage-backed securities are up slightly. Optimism around the potential U.S.–Iran peace agreement is supporting bond prices, and when bond prices rise, mortgage rates tend to ease. We’ll be watching closely as this situation develops.
Spotlight: Cash-Out Refinance for Debt Management
If you’re carrying high-interest debt — credit cards, personal loans, or otherwise — the equity in your home may be one of your most powerful tools for getting ahead of it. A cash-out refinance allows you to consolidate that debt into your mortgage at a potentially much lower rate.
The key is acting early — before late payments appear on your credit report or your credit utilization climbs too high. The sooner we explore your options, the more flexibility you’re likely to have.
Read more: Cash-Out Refinance to Pay Off Debt →
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Have questions about your specific situation? Whether you’re buying, refinancing, or just exploring your options, I’d love to help. Let’s talk!
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