The average rate for a 30-year fixed mortgage in the U.S. rose to 7.07% on Thursday, according to Mortgage News Daily, up 10 basis points from Wednesday and breaking the 7% mark for the first time since May 2025. Mortgage rates typically move in tandem with the U.S. 10-year government bond yield, which climbed again on Thursday due to surging oil prices. Matthew Graham, COO of Mortgage News Daily, stated that the bond market has been performing poorly recently, initially impacted by U.S. Treasury Secretary Scott Bessent's bond buyback announcement, and on Thursday by an overnight surge in oil prices and a muted reaction to PPI data. Mortgage rates have been steadily rising since the outbreak of the Iran War, having been as low as 5.99% before the conflict.