The Fed’s shut down Freedom Bank

Regulators on Friday shut down Freedom Bank, a small bank located in Bradenton, Fla. It was the 17th failure this year of a federally insured bank.
The Federal Deposit Insurance Corp. was appointed receiver of the bank, which had $287 million in assets and $254 million in deposits as of Oct. 17.
The FDIC said the bank’s [...]

Bernanke mulls alternative forms of Fannie, Freddie

Our benchmark FNMA 6.0% mortgage bond got off to a great start this morning when it gapped 38bp higher at the Open and traded up to 59bp higher before retreating with only a 16bp gain to close at $99.94.
 
Although the economic news continues to be bond-friendly, the bond market is suffering from quick hits [...]

Bernanke mulls alternative forms of Fannie, Freddie

Federal Reserve Chairman Ben Bernanke on Friday launched the public debate over what the government should do with Fannie Mae and Freddie Mac once the financial-market crisis is over.
Uncle Sam took over the two mortgage giants last month after they were judged to be operating in “an unsafe and unsound manner,” in Bernanke’s words. [...]

Schumer questions IRS rule aiding Wells-Wachovia

A new tax ruling that could make it easier for bank mergers such as Wells Fargo & Co’s planned purchase of Wachovia Corp to take place was criticized Thursday by Sen. Charles Schumer, who said it may prove too expensive for taxpayers.
In a letter to U.S. Treasury Secretary Henry Paulson and Internal Revenue Service Commissioner [...]

Bank of Japan cuts rates to 0.3% in split decision

Uncertainties over outlook said rising; split evident over size of rate cut
 The Bank of Japan’s policy board decided Friday to cut its base lending rate to 0.3%, abandoning its goal of normalizing interest rates in favor of injecting stimulus into the No. 2 global economy in an effort to head off recession.
The policy board vote [...]

Happy Halloween

 
  These is meant for us all to laugh at.  Have a safe and Happy Halloween.

Stated income mortgages are back

Emerald Pacific Mortgage has brought back their stated income home mortgage program again, says Mike Mortrud of Emerald Pacific.  These programs are badly needs for self employed borrowers.  Without these programs it is nearly impossable for a self-employed borrower to qualify for a home mortgage.  You do not have to be self employed to qualify and restrictions do apply.  Contact Emerald Pacific [...]

Market Wrapup 10/30

Our benchmark FNMA 6.0% mortgage bond showed less volatility today but ended 3bp lower at $99.78.
 
Better than forecast economic news and surging global stock markets pressed bond prices lower.
 
Central banks around the globe celebrated yesterday’s Fed rate cut with one of their own.
 
Hong Kong’s central bank cut its key lending rate by [...]

Borrowing cost ease after Fed rate cut, liquidity moves

Credit spreads still elevated; funding concerns remain

Credit-market conditions showed further signs of improvement Thursday, responding to the Federal Reserve’s decision to slash a key U.S. interest rate to 1% along with central banks’ moves to further flood money markets with dollars.
The London interbank offered rate, or Libor, for three-month dollar loans fell for a 14th [...]

Lawsuit Filed Against Obama Claims He’s Not Eligible for the Presidency

Philip J. Berg, Esquire, of Pennsylvania filed a lawsuit on Thursday seeking a Declaratory Judgement and Injunction that Barack Obama does not meet the qualifications to become President of the United States. In the lawsuit Berg alleges that Obama is not eligible for the presidency because he is not a naturalized citizen, and/or lost his [...]