Fed stays course on MBS sales; SFA close to revising data tape for prime non-agency MBS; MBS on watch for rating upgrades by Fitch; subprime auto ABS impairments rise; commercial MBS delinquencies decline; Fannie sees tighter spreads for latest CRT; Morningstar not ready to give positive commercial MBS credit for “mass timber” construction.
MBS prices staged a nice turnaround in the fourth quarter but trading volume weakened in December. A stronger-than-anticipated jobs report in early January sent rates northward but not terribly.
Agency mortgage securitizations can cause riskier behaviors from bank mortgage lenders and potentially lead to bank runs on deposits, according to a new research paper from the Federal Reserve.
Bank of America issued a resecuritization this week tied to a 2017 multifamily K-deal. It’s the first rated issuance of its kind from BofA since 2016. The new resecuritization received an A- rating.