Banks with strong digital platforms are attracting investor interest as they capture younger borrower segments. Mr Mazzagatti also rejects claims that the High Court relied upon representations regarding the loans to approve the deal. However, watching the bond market will provide a clue to the direction of mortgage rates, he added. "Lower 10-year Treasury rates typically do lead to lower mortgage rates.” Loans finance activity in Europe rose sharply in June, with lending volumes up 5.2%. Market outlook favors eurozone financials, as ECB policy shifts could spur bank profitability and stock valuations.