Moody’s Warns it Will Downgrade Almost All Alt A MBS, Sector Now Worse than Subprime
January 30, 2009
Moody’s Investors Service last week quadrupled its projected cumulative loss expectations for Alt A mortgage-backed securities and warned that most deals will be downgraded, many to below investment-grade. The actions confirm that Alt A MBS will perform worse, ratings-wise, than already battered subprime MBS. According to an Inside B&C Lending... [Includes two charts and one graph]