Total mortgage application volume fell 1% in the third week of August as the average contract rate for 30-year fixed-rate conforming mortgages edged up to 6.78%, its highest level in three weeks. Refinance applications declined 2% weekly and 17% annually, while purchase applications fell 0.3% weekly and 5% annually. Treasury yields have been pushed higher by rising corporate debt, wider US government deficit spending and concerns that the Federal Reserve may be too complacent about inflation, with 30-year bond yields reaching a multi-decade high. Reporting on the prior week diverges, with the latest account describing a 0.4% increase that the decline reversed, while earlier accounts characterized the preceding change as a 0.4% or 1% drop. Average 30-year fixed rates have remained above 6.5% since late 2024, keeping affordability under pressure.