Greenspan Says Regulator Role Will Undermine Fed's Credibility
July 31, 2008
In an interview on CNBC, Former Federal Chairman Alan
Greenspan warned that if the Federal Reserve is given a role to
oversee the financial system it could undermine its credibility.
A Loaf of Bread for Z$200 Billion? Now That's Inflation
July 31, 2008
Zimbabwe is the latest example of what happens when inflation spirals
out of control to the point of hyperinflation. With the highest rate of
inflation in the world - about 2.2 million per cent -
Zimbabwe last week issued a Z$100 billion note, though still not enough
to buy a loaf of bread, which is roughly double the price.
TSY's Paulson Says Stimulus Has Helped U.S. Economy
July 31, 2008
Speaking before the Exchequer Club of Washington, U.S. Treasury
Secretary Henry Paulson said the stimulus package has
supported the economy in the last year.
Freddie Mac Doubles Financial Incentives to Servicers Who Help Borrowers Avoid Foreclosure
July 31, 2008
Freddie Mac today told mortgage servicers it was
doubling the amount of money it pays for each workout
that keeps a delinquent borrower with a Freddie Mac-owned mortgage out of
foreclosure.
After Weak U.S. Second-Quarter GDP, Economists Say Worse to Come
July 31, 2008
Economists say the reported 1.9% GDP growth for the second quarter of
2008 was boosted by a 1.5% increase in consumption and a 2.4% gain in net
exports. The figure was lower than expectations, however, as inventories
saw a sharp reduction.
Chicago Business Barometer Bounces into Growth, Prices at 28-Year High
July 31, 2008
The ISM-Chicago business barometer bounced into
growth mode in July following five months of slowdown. The growth was led
by advances in production and new orders, even as prices hit a 28-year
high and employment remained in contraction for the eighth straight
month.
GDP Rises 1.9% in Q2, Revisions Include Negative Quarter in Q4 2007
July 31, 2008
The advance U.S. GDP report came in lower than
expected for the second quarter of 2008, rising by 1.9% against
expectations of 2.3% growth, according to the Bureau of Economic Analysis
on Thursday. Revisions showed the U.S. economy shrank 0.2% in the fourth
quarter 2007.
Falling Mortgage Rates Fail to Spur Home Loans, FHA Loans Should Help
July 30, 2008
Long term mortgage rates fell last week but a report issued by the Mortgage Bankers Association showed the number of people applying for a home loan plummeted 14.1% for the week ending July 25.
Now it’s Official - President Bush signs the Housing and Economic Recovery Act of 2008!
July 30, 2008
President Bush signed the Housing and Economic Recovery Act of 2008 into law this morning. With about 700 pages in this bill, it covers a lot of ground but here are some main points homeowners, home buyers and anyone interested in mortgages or real estate will want to know.
Preview: Second Quarter GDP Expected to Post 2.3% Growth
July 30, 2008
The consensus forecast expects U.S. GDP growth to
come in quite a bit better than the two previous quarters, as exports
have surged on the weak dollar and the fiscal stimulus package has
provided a boost to consumption.
CIBC's Rubin Sees U.S. Inflation Hitting 6%
July 30, 2008
Headline inflation in the United States could be
headed as high as 6% before the end of the year, CIBC chief economist
Jeff Rubin warns in a forecast published Wednesday.
Hope Now Alliance Saves 1.9 Million Homes From Foreclosure
July 30, 2008
Mortgage service providers have staved off the foreclosure of
1.9 million homes in the past year in what has been the
largest bailout the housing industry has ever seen, according to Hope
Now, the private sector alliance of mortgage service providers,
counsellors and investors…
New 2008 Highs for Mortgage Rates
July 30, 2008
Fixed-rate mortgages (FRMs) hit the highest levels of
2008 during the week ended July 24 according to Freddie Mac’s
Primary Mortgage Market Survey.
The Home Equity ATM Machine Slows in First Half of 2008
July 30, 2008
Whatever else is going on in the housing market, it appears that
Americans are no longer using their homes as gigantic credit
cards to finance new cars, tuition, and vacations.
SEC Extends Rule Limiting Short Selling Until August 12
July 30, 2008
On Tuesday evening, the Securities and Exchange Commission
extended its emergency rule limiting short selling of
Fannie Mae, Freddie Mac and 17 brokerage firms to Aug. 12.
Economist Calls U.S. ADP Employment Report "Grossly Over-Optimistic"
July 30, 2008
Following the release of the ADP private employment
report on Wednesday, which posted a gain of 9k jobs in July,
economists dismissed the figures as overly optimistic
and predicted they won’t be reflected in the BLS nonfarm payrolls survey
on Friday.
Fed to Conduct Liquidity Operations Through January 2009, Introduces 84-Day TAF
July 30, 2008
In addition to the $75 billion 28-day Term Auction Facility (TAF), the
Fed will also be conducting a $25 billion 84-day TAF to address the
ongoing “fragility” of the financial system. The Fed
also said it would be extending its extraordinary lending to late January
2009.
MBA Mortgage Applications Move Down in Week Ending July 25
July 30, 2008
Weekly mortgage applications declined in the week
ending July 25, according to data released from the Mortgage Bankers’
Association (MBA) on Wednesday, which reported a 14.1% week-over-week
fall in applications.
Wednesday's Events: ADP Employment, Cdn Five-Year Bond Auction, DOE Oil
July 30, 2008
The ADP employment report will be the most closely looked at economic
event of the day ahead of Friday’s U.S. nonfarm payrolls. In Canada,
markets will receive industrial product and raw material prices for June
followed by an auction of five-year government bonds. Meanwhile, energy
traders will be looking at weekly U.S. crude oil inventory figures for
more direction on where oil will go next.
Update on the Housing and Economic Recovery Act of 2008 – It’s Almost Official!
July 29, 2008
Any day now the President is expected to sign into law the Housing and Recovery Act of 2008. There are big changes in store with the passage of this act, changes which have the potential for sweeping effects across the mortgage and real estate industries.