Refi Wave on the Way?
While mortgage rates haven’t kept pace with the plummeting Fed Funds Rate, the 30-Year Fixed rate has come down almost 75 basis points in recent weeks to a national average of around 5.7% yesterday. The recent trend got a boost last week from comments by Ben Bernanke that the Fed, which doesn’t have much fire…
While mortgage rates haven’t kept pace with the plummeting Fed Funds Rate, the 30-Year Fixed rate has come down almost 75 basis points in recent weeks to a national average of around 5.7% yesterday. The recent trend got a boost last week from comments by Ben Bernanke that the Fed, which doesn’t have much fire power left with its signature rate (how much lower than 1% can you go) may start trying to impact the long end of the curve by purchasing U.S. Treasurys. According to Bloomberg, refinancing can already make sense for home owners with existing mortgages of 5.5% or higher. Presumably a wave of refinancings would help both the real estate market and the overall economy, generating fees for banks a lowering carrying costs for owners. Have any readers been looking into refinancing? Excuse us while we go have a look at the fine print on our mortgage now.
Long Bond Returns Most Since 1995 [Bloomberg]
30-year Fixed Mortgage Rates Down Tuesday [Bankrate]
Graph from Seeking Alpha
A broker. What do you sell, What? Real Estate? Stocks? Bonds?
Regardless of the answer, you are the reason this MAB came about so you only have yourself to blame.
And don’t tell me your sister got you your job.
Why don’t you go lick Biff’s balls clean like you said you wanted to. Doubt Biff would like that, but he might be kind and let you live out your secret desire.
This is the main reason why US T-Bills (Blow me) is being used for a safe haven!!!!
No bids for Port Authority of NY/NJ bond offering shows credit crisis far from over
http://www.bloggingstocks.com/2008/12/03/no-bids-for-port-authority-of-ny-nj-bond-offering-shows-credit-c/print/
In another sign that the credit crunch has not disappeared, the Port Authority of New York and New Jersey received no bids from investment banks to underwrite a taxable note offering.
The Port Authority was trying to sell $300 million worth of three-year notes, backed by revenue streams, Bloomberg News reported. The Port Authority operates airports, river crossings, and certain transit systems in the New York metropolitan area and has a strong credit rating. The agency is also rebuilding the World Trade Center site, including the new Freedom Tower.
Economist David H. Wang was apoplectic about the failed offering. “This is unbelievable,” Wang said. “It’s a ridiculous situation, frankly, and something has to be done to free-up these credit markets. This is the financial equivalent of Warren Buffett not being able to get a $20 million loan.”
State, cities, and other taxing districts have had trouble selling bonds through advertised bidding, after institutional investors pared-back their appetite for fixed-income securities — and just about every other asset class — as the financial crisis intensified in September. In tandem, investment banks have balked at bidding for certain debt, sensing insufficient client demand, Wang said.
“Credit conditions had improved somewhat up to the end of last month, but the Port Authority’s inability to get a bid Wednesday demonstrates that more liquidity is needed,” Wang said. “If necessary, the Federal Reserve or Treasury should step in to provide liquidity because there is no reason for deals like this to not be funded, from a risk standpoint.”
Bond Market / Economic Analysis: Yet another disappointing — and absurd — data point for the credit markets. As economist Wang noted, the Port Authority has multiple, strong revenue streams that aren’t going away anytime soon. It’s credit rating is strong. In short, it’s a very low risk investment. And yet, no bidders. If the Fed or Treasury does not step in first, perhaps the Port Authority will end up doing what Massachusetts did earlier this year, choosing to go the negotiated route for certain bond sales, when bids came in with an excessive/high interest rate for their bonds.
No one want US Debt RETARDS!!! Your Tax money (Money with you work for 3 month) is given to the banks (mostly interest free) and loan back you you at interest!!!
How retarded has America become???!! I called the implosion of the Mutant Asset Bubble and STILL you have the Asshats trying to refute this, Unreal!!!!
2009 is coming and something wicked comes this way…..
The What
Someday the retards will wake up!
This is the main reason why US T-Bills (Blow me) is being used for a safe haven!!!!
No bids for Port Authority of NY/NJ bond offering shows credit crisis far from over
http://www.bloggingstocks.com/2008/12/03/no-bids-for-port-authority-of-ny-nj-bond-offering-shows-credit-c/print/
In another sign that the credit crunch has not disappeared, the Port Authority of New York and New Jersey received no bids from investment banks to underwrite a taxable note offering.
The Port Authority was trying to sell $300 million worth of three-year notes, backed by revenue streams, Bloomberg News reported. The Port Authority operates airports, river crossings, and certain transit systems in the New York metropolitan area and has a strong credit rating. The agency is also rebuilding the World Trade Center site, including the new Freedom Tower.
Economist David H. Wang was apoplectic about the failed offering. “This is unbelievable,” Wang said. “It’s a ridiculous situation, frankly, and something has to be done to free-up these credit markets. This is the financial equivalent of Warren Buffett not being able to get a $20 million loan.”
State, cities, and other taxing districts have had trouble selling bonds through advertised bidding, after institutional investors pared-back their appetite for fixed-income securities — and just about every other asset class — as the financial crisis intensified in September. In tandem, investment banks have balked at bidding for certain debt, sensing insufficient client demand, Wang said.
“Credit conditions had improved somewhat up to the end of last month, but the Port Authority’s inability to get a bid Wednesday demonstrates that more liquidity is needed,” Wang said. “If necessary, the Federal Reserve or Treasury should step in to provide liquidity because there is no reason for deals like this to not be funded, from a risk standpoint.”
Bond Market / Economic Analysis: Yet another disappointing — and absurd — data point for the credit markets. As economist Wang noted, the Port Authority has multiple, strong revenue streams that aren’t going away anytime soon. It’s credit rating is strong. In short, it’s a very low risk investment. And yet, no bidders. If the Fed or Treasury does not step in first, perhaps the Port Authority will end up doing what Massachusetts did earlier this year, choosing to go the negotiated route for certain bond sales, when bids came in with an excessive/high interest rate for their bonds.
No one want US Debt RETARDS!!! Your Tax money (Money with you work for 3 month) is given to the banks (mostly interest free) and loan back you you at interest!!!
How retarded has America become???!! I called the iplosion of the Mutant Asset Bubble and STILL you have the Asshats trying to refute this, Unreal!!!!
2009 is coming and something wicked comes this way…..
The What
Someday the retards will wake up!
We just got intraday pricing changes for the better!!!! Big swing on rates today.
adahill@approvedfunding.com
We are not Fortress, neither are most other hedge funds. One soundbite does not necessarily describe the situation of all of the other funds.
But, as we know from the traditional broker-speak, they only tell you what they want you to hear!!! No wonder there’s suck BS out of your mouth.
Hey Dave instead of bothering me you need to get back to work!
Fortress Halts Drawbridge Global Fund Withdrawals (Update1)
http://www.bloomberg.com/apps/news?pid=20601087&sid=asiamTLKlBS0&refer=home
“Dec. 3 (Bloomberg) — Fortress Investment Group LLC, the private equity and asset manager, halted redemptions from its Drawbridge Global Macro hedge fund after investors asked to withdraw $3.51 billion by year-end.”
““It’s tough to tell if they’ve done anything wrong,†said Smith, who has an “in line†or neutral rating on the company. “The fund doesn’t look to be a terrible performer relative to the industry, so I’m not sure if this was based on performance alone. It’s more symptomatic of what you’re seeing in hedge funds across the board.â€
Oh I forgot. I thought you was done with my “ill-informed ass”…
The What
Someday this war is gonna end…
“Also, what do you do for a living”
I’m a Broker.
Now for the bad news. Unemployment continues a upward trend.
ADP Says U.S. Companies Cut 250,000 Jobs in November (Update4)
http://www.bloomberg.com/apps/news?pid=20601087&sid=affocMz.qpqU&refer=home
“Dec. 3 (Bloomberg) — Companies in the U.S. eliminated an estimated 250,000 jobs in November, the most since November 2001, a private report based on payroll data showed today.”
December is the month where your get canned! The terminations are going out right now and this will have a effect on consumer spending.
““I’m expecting to see a string of very weak employment reports, with unemployment rising to between 8 and 9 percent,†said Prakken, adding today’s figures signal the Labor Department will report November job losses exceeding 300,000.”
8-99% unemployment going into “spring selling season” (Feb-Sept 2009) is very bad because it will put pressure on sellers to lower prices.
I don’t understand how can the Asshats ignore the data coming in, GOD you think you’re immune from everything!
The What
Someday this war is gonna end…
What…please explain the math in your 12:40 post. How do you get from 25% to 50%?
Also, what do you do for a living?
Please try and answer at least one question in a straighforward, non-assinine manner.
Pathetic.
My apartment has not been on the market at all. Several brokers from major firms approached us. All I am saying is that it IS a 25% drop in what a broker would list at. And we have about 1500+ sq ft, (split) 2 bedrooms, 2 -1/2 baths, den (was a bedroom) and eat-in kitchen. The draw was that there are not many coops that size.