As expected, new mortgage business turned sharply lower during the week that included Memorial Day. Business unexpectedly sank, though, from a year ago.

Mortgage Daily’s U.S. Mortgage Market Index, an indication of upcoming originations based on OpenClose rate-lock volume, was 116 in the week ended June 2.

Compared to the previous week, the index — which is not adjusted for seasonal variations — fell 25 percent. It was the second consecutive week that it declined.

Source: Mortgage Daily