This week, mortgage rates surged sharply, increasing nearly .3% over three days due to rising bond yields, which are influenced by the supply of bonds. The spike was driven by U.S. Treasury auctions that impacted mortgage-backed bonds similarly. On Friday, rates stabilized as the bond market leveled off. Looking ahead, market attention will shift to economic data. If the CPI indicates lower inflation, it could push rates down, but if inflation is higher than expected, rates may continue to rise.