CFPB analyst cites 'profound' mortgage servicer community impact

FHFA reaches $280 million RMBS settlement with Barclays

RMBS settlement total now exceeds $16 billion

Whalen: Nonbanks are taking over mortgage originations

Regulators "get in the way"
W S

REwired

new REwired blog header
Opinion, commentary and analysis on everything that makes the U.S. housing economy tick -- not to mention the ghosts in the machine, too. Written by HW's team of editors and reporters each business day.
Investments

Deutsche Bank outlook shows Fed MBS purchases distorting Treasurys

November 27, 2012

The Federal Reserve extensive purchasing of Fannie Mae, Freddie Mac and Ginnie Mae mortgage bonds looks to be distorting Treasury yields, according to an economic outlook report from Deutsche Bank [stock DB][/stock].

The analysts add that other central banks are also purchasing large portions of this debt, along with financial debt issues by the ECB. This is making Treasury yields crater in just two-years time. (See chart below.)

 

The good news is Deutsche Bank expects the U.S. economy to strength as Europe continues to languish. This is dependent on policymakers dealing adequately with the fiscal cliff.

The project, if the country does not breach those debt triggers, is US growth at 2.1% in 2012 and 1.9% in 2013. GDP is predicted to be 3.1% in 2014 at 3.1%.

 jgaffney@housingwire.com

Comments powered by Disqus