Nonbank earnings season is over. The bottom line: profits fell, but that was to be expected. The big question: Where do we go from here?

Federally insured depositories reported $3.088 trillion of servicing-for-others at June 30, mostly representing loans residing in MBS trusts...

Year-over-year, Bank of America increased its MBS holdings by a stunning 82.5%.

A dozen publicly traded nonbanks saw combined income drop 69% from the first to the second quarter, thanks largely to shrinking production margins and unhedged MSR portfolios. (Includes data chart.)

The key to a modest increase in servicing-for-others in the banking industry was the purchase of a large nonbank by Western Alliance Bank. (Includes data chart.)

Bank investment in agency MBS, especially Fannie/Freddie paper, continued to grow during the second quarter, though not quite as much as the overall market. (Includes two data charts.)

Production of jumbos and expanded-credit mortgages spiked while agency lending deflated.

The agency market — FHA/VA and conventional conforming — still accounted for 86% of first-lien originations, but jumbo and ECM lending are gaining ground. (Includes two data charts.)

Freddie's issuance fell by more than 50% from the first quarter and Fannie remained inactive.