Residential construction company stocks rise, data shows US mortgage rates dropping, refinancing surging.

Residential construction stocks rose 1% on Wednesday, with data showing that US mortgage rates fell to their lowest level in nearly a year. In the week ending September 12, the 30-year fixed mortgage rate dropped 10 basis points to 6.39%, while refinancing jumped to its highest level since early 2022. The stocks with the largest gains in the S&P 1500 Residential Construction Index included Dream Finders Homes, Century Communities, KB Home, Lennar, and DR Horton. At the same time, the US 10-year Treasury yield fell to 4%.