"This book truly
is a must read."
-- Congressman Ron Paul
RATES UP - MORTGAGE MARKET LOCKS UP
MISH: Yesterday 10 year treasury yields went soaring and the mortgage market literally seized up....
Mortgage banks are going to be flooded with calls from people wanting to lock at 4.75. Sorry folks, those rates are gone.
Mortgage banks that made unhedged commitments at 4.25-4.75% are now in a position to lose substantial sums of money.
Bernanke thought it would be an easy task to keep down mortgage rates. So much for a $1.2 trillion commitment. What's next? A $2.4 trillion commitment? Fannie Mae, Freddie Mac, and the FHA are the lenders of only resort yet the Fed is still struggling to rig the market.
