Mortgage Rates January 29, 2009

What a day in the Mortgage market!

Mortgage Backed Securities (MBS) were taken out behind the woodshed today. The FNMA (30 YR 4.0%) MBS shed -78bp, which is a huge one day move.  Lenders were slow to pull the trigger on re-pricing today, by day end I only counted 2 deteriorating market emails from the lenders, which equated to .25% increase in rates.  See Real Time Mortgage Rates
The FED announced its weekly MBS numbers. The Agency Mortgage-Backed Securities Purchase Program which is intended to keep rates low doesn’t look to be working.  No worries, this is temporary glitch,  we will most likely see this type of activity over the next 5 months.  That is low rates and then selloffs days later.  “Profit taking”

Pelosi’s Stimulus Plan passed the House, yet to pass Senate could face difficulty when and if it makes it to Obama.  The plan includes underlying protectionism, even in a economy such as ours that could prove to be a bad plan.

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1. Credit Crunch » Mortgage Rates January 29, 2009 says:

   January 30, 2009 at 12:06 am

   [...] Money employment & careers | money-employment.marc8.com wrote an interesting post today onHere’s a quick excerpt What a day in the Mortgage market! Mortgage Backed Securities (MBS) were taken out behind the woodshed today. The FNMA (30 YR 4.0%) MBS shed -78bp, which is a huge one day move.  Lenders were slow to pull the trigger on re-pricing today, by day end I only counted 2 deteriorating market emails from the lenders, which equated to .25% increase in rates.  See Real Time Mortgage Rates The FED announced its weekly MBS numbers. The Agency Mortgage-Backed Securities Purchase Program which is intended [...]