Mortgage Rates Rise Even as the Fed Stays Put

The Fed has held its benchmark at 3.50%–3.75% since January 2026. Yet 30-year fixed mortgages rose 20–25 basis points to 6.76%, near a one-year high per Reuters. Bond markets, not the Fed, are driving the move — investors demand more yield for holding longer-term debt, and have scaled back rate-cut expectations. Three FOMC dissents on July 29 add to the uncertainty.