RMBS

The decision means that the company must now prepare to go to trial to defend itself against allegations by the Federal Housing Finance Agency of wrongdoing in its sale of RMBS.

This week came alive on Wednesday as investors responded to the re-election of President Barrack Obama and the October prepayment reports released late afternoon on Tuesday.

Fannie Mae – which has recovered billions of dollars in damages from mortgage bankers on buyback requests – is cutting down on due diligence reviews.

New Penn Financial this week unveiled a new Jumbo loan that will likely wind up in MBS issued by its affiliate Shellpoint Partners.

U.S. financial institutions will not be required to start complying with Basel III capital and liquidity requirements by Jan. 1, according to a joint statement issued by regulators on Friday.

PHH Corp. posted a $42 million loss in the third quarter after marking down the value of its servicing portfolio by $217 million.

Mezzanine-level subprime bonds securitized by Texas loans are likely to have higher valuations than mezzanine subprime bonds without Texas exposure.

BofA Merrill analysts expect the national S&P Case Shiller index to increase 5% this year, up from an initial forecast of a 2% gain the bank called in August.

In its weekly report, Freddie Mac reported 30-year fixed mortgage rates averaged 3.40% from 3.39% last week. Since the end of September, rates have held to a narrow range of 3.36% to 3.41%.

Fannie Mae reported weaker earnings in the third quarter – including a loss on its single-family business – but also announced that its MBS market share set a new all time record: 52%.