Trump is holding back a bipartisan housing bill, and markets reacted badly to the delay.

• Trump refused to sign the housing bill, tying it to passage of the Save America Act first.
• He brushed off questions about a possible veto, saying the issue is really about interest rates.
• His fix for housing: lower interest rates and supply will follow.
• Markets disliked the move, reading the delay as a setback.

Outlook: The housing bill stays stalled until the Save America Act advances, keeping pressure on rates as the key variable.