**WTMS Blog Today = What’s up in Mortgage Today (AM) – 06/03/2026**

Iran’s military escalation overnight sent oil prices climbing and Treasury yields higher, pushing 10-year yields back to 4.49 percent even as the mortgage market held steady within its established range. MBS securities weakened across all coupons, with UMBS 5.0 falling 0.24 points and GNMA 5.0 dropping 0.22, reflecting the broad bond market sell-off driven by geopolitical tensions. May ADP employment data arrived in line with expectations at 122,000 jobs, but the report generated virtually no market reaction, suggesting bond traders are laser-focused on war-related headlines rather than labor metrics.

The 10-year yield continues to find support near 4.43 percent and resistance near 4.51 percent, creating a narrow trading band that could persist until Friday’s payrolls data provides clarity. Purchase applications fell 3 percent to their slowest pace since April despite mortgage rates easing to 6.57 percent, signaling that homebuyers remain cautious in today’s environment. CoStar Group is acquiring Zonda for $800 million, gaining access to its builder-focused data platform and NewHomeSource and Livabl marketplaces serving new home construction.

This consolidation strengthens CoStar’s position across residential real estate segments and underscores ongoing industry concentration in data and analytics. Trump administration tapped FHFA Director Bill Pulte to serve as acting director of national intelligence while maintaining his current positions, a move that adds uncertainty around credit modernization initiatives at Fannie Mae and Freddie Mac. Agency stock prices fell sharply on the announcement, with Fannie declining nearly 6 percent and Freddie dropping over 5 percent as investors questioned Pulte’s divided attention.

Mortgage professionals should monitor whether Pulte’s dual role delays decisions on credit scoring model adoption that industry stakeholders have been awaiting. The VA finalized a new loss mitigation program allowing delinquent VA borrowers to bring mortgages current through subordinate liens without increasing monthly payments, bringing VA loss mitigation tools in line with FHA and GSE options. Servicers can begin submitting trial payment plans on June 15 and have until November 28 to update systems.

Realtor.com launched RealAssist AI, a conversational home search platform built with Google that lets buyers describe finances and lifestyle goals to receive personalized property recommendations. For loan originators, this represents a potential early-funnel threat since the platform is designed to answer affordability questions before borrowers reach lenders. The tool integrates Google Maps for commute times and neighborhood visuals, creating a complete pre-qualification experience.

**Locking vs Floating**

Technical support for the 10-year yield sits at 4.43 percent, a level that has held despite multiple tests this week, while resistance resides near 4.51 to 4.53 percent. The correlation between Treasury yields and oil prices remains strong, suggesting that war-related headlines will continue driving bond market volatility more than economic data. Even with May ADP employment beating forecasts at 122,000 jobs, traders showed minimal reaction, indicating that geopolitical risk is currently the dominant market driver.

Yields must decisively break below 4.45 percent to signal meaningful downside momentum rather than another failed test of support. Lock borrowers into today’s rates if they are rate-sensitive, since upside to 4.53 percent is more likely near-term than a break below 4.43 percent support.

**Today’s Events**

– 10:00 AM ET: May ISM Non-Manufacturing PMI (expected 53.8, prior 53.6)
– April Factory Orders
– Fed Beige Book release
– Friday: May Nonfarm Payrolls report

**Bond Pricing**

**UMBS 30 yr**
| Coupon | Price | Intra-Day Change |

**GNMA 30 yr**
| Coupon | Price | Intra-Day Change |

**Treasuries**
| Term | Yield | Price | Intra-Day Yield Change |