Stock markets plunged last week due to weakness in China's economy and sharp drops in oil prices. This caused the mortgage application volume to jump 9 percent thanks to mortgage rates falling to their lowest level since last October, according to CNBC.
The bulk of the total volume was refinance applications, which rose 19 percent from the previous week. The refinance share of mortgage activity increased to 59.1 percent of total applications, up 3.3 percent from the previous week’s 55.8 percent.
The stock market closed in positive territory on Tuesday, which caused mortgage rates to move slightly higher as well.