Researchers link fire sales by REITs at the beginning of the pandemic to sales by other financial institutions.

By taking steps to shore up the financial standing of nonbank lenders and servicers, Ginnie Mae is providing confidence to both MBS investors and warehouse lenders.

A panel of mortgage industry veterans concluded that the best scenario MBS investors can hope for in the upcoming election is that neither side wins a clean sweep of the presidency and Congress.

An expansion of publicly held agency MBS means that primary dealers’ MBS holdings have also grown, filling a void left by the Fed.

It’s getting difficult to project mortgage rates in the near term, putting pressure on agency MBS investors. Still, analysts at BofA Global Research maintain an overweight for holdings of agency MBS.

Hodgepodge of non-agency MBS; new commercial MBS tied to Rockefeller Center; limit-order option for lenders looking to sell into TBA MBS; Moody’s downgrades MBS issued by IndyMac in 1997.

Bank holding companies reported a 13% increase in the volume of MBS and ABS held in their trading accounts during the second quarter. Most of the increase was in agency single-family MBS. (Includes two data tables.)

In the short term, there could be some volatility in the agency MBS market as investors adjust to the Fed’s moves. Longer term, volatility is expected to recede, helping investors in agency MBS.

SFA restarted its RMBS Symposium event this week, with an agenda driven by issues under consideration at committees and task forces within the association.

The outlook for Fed action is largely positive for MBS investors, with interest rate volatility expected to decline. Still, rate cuts will introduce a risk that has been limited for years: prepayments.