By Kristin Myers, Editor-in-Chief

What's Happening Today

Good morning! It's Kristin with your daily morning digest.

Stocks are rising today after sell-offs in the tech sector yesterday caused the tech-heavy Nasdaq index to drop close to 4%. It was the worst day for the index since 2020. More aggressive interest rate hikes from the Federal Reserve will continue to present a challenge for tech and other high growth stocks, as higher interest rates eat away at future profits, making them less attractive to investors.

New data shows how rising mortgage rates are taking a bite out of homebuying and refinancing interest. The volume of mortgage and refinancing applications dropped 8.3% last week from the week prior, the lowest since 2018, according to the Mortgage Bankers Association (MBA). Refinance applications dropped 9% last week from the week prior, and 71% from one year ago, according to the MBA.

Higher interest rates make borrowing money more expensive, and the more the Fed hikes rates, the more you'll pay in interest on loans and debt. Currently, the average mortgage rate on a conventional 30-year fixed home loan is well over 5%. That rate could climb higher next week if the Fed raises rates at its meeting. Those with credit card debt should try to pay off as much as possible, because credit card interest rates will tick up as well.

And if you missed yesterday's Instagram Live conversation with former Wall Street Trader and founder of YourRichBFF Vivian Tu, be sure to watch it here. We discussed how to create new revenue streams through investing. Our conversation was part of The Balance's Financial Literacy Month Instagram Live series. To get updates on all of our live events this month, follow The Balance on Instagram!

- Kristin

Editors' Picks

Here's How To Get the Lowest Mortgage Rate on Your Next Loan (The Balance)

Fidelity To Add Bitcoin Option to 401(k) Accounts (The Balance)

Biden Seriously Considering Student-Loan Forgiveness, Officials Say (The Wall Street Journal)

Pelosi and Schumer Discuss Legislative Moves To Cut Gasoline Prices and Tackle Inflation (Bloomberg)

Hot Job Market, an Economic Relief, Is a Wall Street Worry (The New York Times)

What Happens if You Default on a Business Loan? (The Balance)

Answers to Common Homeowners Insurance Questions (The Balance)

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Off the Charts

People are definitely starting to notice the recent spike in mortgage rates. A chart shows mortgage and refinancing application volume hasn't been lower since 2018.

Number of the Day

0.4% - That's how little the U.S. economy grew in the first quarter—virtually stalling—if one government estimate proves to be accurate.

For The Balance's fourth Financial Literacy Month IG live series, we're discussing the topic of wealth and its enjoyment. Join The Balance Editor-in-Chief Kristin Myers with featured guest Teri Ijeoma, master investor and founder of Trade and Travel, on Wednesday, May 4, at 12 p.m. EST. Follow us on Instagram to get updates on The Balance's live events this month!