The Mortgage Bankers Association (MBA) reported on Wednesday the mortgage application volume in the U.S. surged 5.7 percent in the week ended July 23, following a 4.0 percent plunge in the previous week. 

According to the report, refinance applications climbed 9.3 percent, while applications to purchase a home declined 1.6 percent.

Meanwhile, the average fixed 30-year mortgage rate decreased from 3.11 percent to 3.01 percent, the lowest level since February 2021.

“The 10-year Treasury yield fell last week, as investors grew concerned about increasing Covid-19 case counts and the downside risks to the current economic recovery, noted Joel Kan, MBA’s associate vice president of economist and industry forecasting.