A rise in mortgage interest rates has led to a decline in people applying for home loans and homeowners refinancing.

Trump is fed up with Powell, but experts say Americans seeking cheaper interest rates and lower prices shouldn’t be rooting for the Fed chair to be forced into an early exit.

Analysts believe a modest drop in mortgage rates could prove to be a "magic bullet" for the U.S. housing market.

The average rate on 30-year fixed home loans increased to 6.75% for the week ending July 17, up from 6.72% last week.

Weekly mortgage rates continued to simmer last week, as markets wait in suspense ahead of the White House’s August 1 tariff deadline. The average 30-year fixed-rate mortgage rose one basis point to 6.85% the week ending July 24, according to rates provided to NerdWallet by Zillow. A basis point is one one-hundredth of a percentage point.

President Trump argues that the Federal Reserve should cut interest rates to make buying a house cheaper. Former Labor Secretary Robert Reich warns that could backfire.

Mortgage demand barely moved last week as interest rates slightly increased. Demand is still better, however, than it was a year ago.

Borrowing costs on 15-year fixed-rate mortgages, popular with homeowners refinancing their home loans, also eased. The average rate dropped to 5.87% from 5.92% last week. A year ago, it was 6.07%, Freddie Mac said.

Fed chair Powell's 'wait and see' approach to interest rates has drawn criticism from the Trump administration, which insists that they be slashed to increase homebuyer demand and relieve the housing market. However, the Fed isn't directly responsible for mortgage rates.