RMBS

The Federal Open Market Committee released a statement Wednesday confirming expectations that it would extend its “Operation Twist” program as well as continue reinvestment of principal payments in its agency MBS and debt holdings, prolonging downward pressure on long-term rates.

This week, the Mortgage Banker Association’s Government Refinance Index dramatically climbed to 8872 from 4010, which is a 120% week-over-week increase.

Freddie Mac has raised its estimate for 2012 originations to $1.45 trillion in its latest economic and housing market outlook, citing lower expected 30-year rates.

In Tuesday’s Mortgage Strategy Weekly, FTN Financial analysts said that the speed of liquidation and loss severities within the RMBS market have a strong correlation.

Mortgage application activity eased 0.8% in the week ending June 15 from the prior week due to a 9% drop in purchase activity.

The Consumer Financial Protection Bureau (CFPB) Tuesday promoted Steven Antonakes to head its bank supervision division and placed Paul Sanford in charge of large bank supervision.

The Consumer Financial Protection Bureau (CFPB) has fielded more than 19,000 consumer complaints about mortgage lenders and servicers with roughly 600 participants receiving some type of monetary relief.

This week’s Amherst Mortgage Insight argued that loan modifications are as important as bulk sales in solving the housing crisis.

An upcoming sukuk backed by properties in the Gulf region is the first RMBS from the region since 2007, according to a source close to the deal.

Credit card ABS issuer Discover Financial Services (DFS) is finally getting its feet wet in the mortgage origination business, but the lender isn't jumping into the deep end anytime soon.