Homebuilders, AI Infrastructure Stocks Fall as Mortgage Rates Top 7%

According to CNBC, homebuilding stocks fell after the average rate on the 30-year fixed mortgage rose above 7%, with the SPDR S&P Homebuilders ETF (XHB) down more than 2%, PulteGroup off 2%, Williams-Sonoma down nearly 2%, and Owens Corning and Home Depot each lower by 1%. Shares tied to AI infrastructure also retreated as investors moved into risk-off mode, with the iShares AI Innovation and Tech Active ETF (BAI) down almost 2%, Vertiv and CoreWeave each off nearly 5%, Lumentum down close to 4%, Nvidia down about 2%, and Micron Technology lower by more than 4%.