Industry News
Mortgage Industry News
Bonds Are Up
08/14/2009
CPI was unchanged in July, showing that inflation is under control; bonds are up. According to Bloomberg, more than 150 publicly traded US lenders own nonperforming loans that equal 5% or more of their holdings. Former regulators caution that this number is historically high. Right now, the futures market is pricing in an 84% chance that the Fed keeps rates somewhere between 0% and .25% through December 16th, 2009. Currently, the Ten Year yield is at 3.53% (3.70% yesterday) and the 2-10 yield spread is at 249bps, flattening 5bps since yesterday morning.
