Mortgage rates drop fourth straight week

WASHINGTON – Average U.S. mortgage rates tumbled this week. The 30-year loan hit its lowest level since June 2013 as Treasury bond yields marked new lows amid concern over global economic weakness.

It was the fourth straight week of declines for mortgage rates, making it more affordable to borrow to buy a home.

Mortgage company Freddie Mac said Thursday that the nationwide average for a 30-year loan dipped to 3.97 percent from 4.12 percent last week. The average for a 15-year mortgage, a popular choice for people who are refinancing, fell to 3.18 percent from 3.30 percent.

Mortgage rates often follow the yield on the 10-year Treasury note. The 10-year note traded at 2.13 percent Wednesday, down from 2.34 percent a week earlier. It traded at 2.11 percent Thursday morning. Bond yields rise when bond prices fall.

Treasury yields have dropped sharply on expectations that the world’s economic sluggishness could force the Federal Reserve to delay interest rate increases.

Mortgage rates have fallen even though the Federal Reserve appears set at the end of this month to end its monthly bond purchases, which are intended to keep long-term borrowing rates low. Yet Fed officials have indicated they will continue to hold shorter-term rates at near-zero levels until there are signs of rising inflation.

At 3.97 percent, the 30-year rate is down from 4.53 percent at the start of the year and at its lowest point since the week of June 20, 2013, when it was 3.93 percent.

CBS to offer subscribers digital streaming service

NEW YORK – CBS is jumping on the cord-cutting bandwagon, launching a stand-alone digital streaming service for $5.99 a month that will offer subscribers access to its current and older shows.

The news comes a day after HBO said it plans to offer a streaming-only service next year. Americans are increasingly turning to digital media to watch TV and movies. About 45 percent of Americans stream television shows at least once a month, according to research firm eMarketer. It says that number is expected to increase to 53 percent, or 175 million people, by 2018.

“The broadcast TV network says 15 current prime-time shows such as “The Good Wife” and “Survivor” will be available on the service, called CBS All Access, the day after they air.

Subscriptions to the service will include the ability to stream CBS stations live in 14 markets and watch previous seasons of current shows as well as older shows from both CBS and other networks like “Twin Peaks” and “Cheers.”

But live-streaming of sporting events, including NFL coverage, is not available.