Latest news
22nd April, 26
MBS Execution, AI, DSCR, Processing, HELOC Products; Hedge Funds, Treasuries, and Mortgage Rates
Today we have a press conference with HUD Secretary Scott Turner and U.S. Federal Housing Director Bill Pulte announcing “a significant development in the U.S. housing finance system” at 12:45PM ET. Rumors run the gamut from “operationalizing” VantageScore to moving control of the FHA & VA programs under Pulte and the FHFA. Meanwhile, the capital markets have a lot on “their” mind, and I received this note. “Rob, I’ve heard that hedge funds own a record percentage of U.S. Treasuries. Does that impact mortgage rates for my borrowers?” Anything impacting supply and demand
MBS Execution, AI, DSCR, Processing, HELOC Products; Hedge Funds, Treasuries, and Mortgage Rates
Today we have a press conference with HUD Secretary Scott Turner and U.S. Federal Housing Director Bill Pulte announcing “a significant development in the U.S. housing finance system” at 12:45PM ET. Rumors run the gamut from “operationalizing” VantageScore to moving control of the FHA & VA programs under Pulte and the FHFA. Meanwhile, the capital markets have a lot on “their” mind, and I received this note. “Rob, I’ve heard that hedge funds own a record percentage of U.S. Treasuries. Does that impact mortgage rates for my borrowers?” Anything impacting supply and demand
22nd April, 26
Hurrying Up And Waiting
As a testament to just how confident the market is/was that neither side is overly interested in escalating the Iran war, Tuesday night's ceasefire deadline has come and gone with surprisingly little fanfare. Yes, the ceasefire was technically extended, but the more relevant point is that oil prices have traded inside a 4 dollar range that covered both the bullish and bearish potential outcomes. We've been saying for several weeks that the next big move for the bond market will be reserved for a truly momentous development such as the complete end of hostilities/blockades or a massive
Hurrying Up And Waiting
As a testament to just how confident the market is/was that neither side is overly interested in escalating the Iran war, Tuesday night's ceasefire deadline has come and gone with surprisingly little fanfare. Yes, the ceasefire was technically extended, but the more relevant point is that oil prices have traded inside a 4 dollar range that covered both the bullish and bearish potential outcomes. We've been saying for several weeks that the next big move for the bond market will be reserved for a truly momentous development such as the complete end of hostilities/blockades or a massive
21st April, 26
Ceasefire Uncertainty Adds to Losses
Ceasefire Uncertainty Adds to Losses Bonds were just a bit weaker this morning after the weekly ADP data. Just before 11am ET, several newswires called ceasefire negotiations into question. Chief among these was a report that Iran had not confirmed its intent to participate. Despite the seemingly significant consequences, bonds only rose about 2bps in terms of 10yr yields. By the 3pm CME close, yields were up less than 4bps on the day and still well inside the prevailing consolidation range. There's been a bit more weakness since then owing to new headlines indicating that neither Iran
Ceasefire Uncertainty Adds to Losses
Ceasefire Uncertainty Adds to Losses Bonds were just a bit weaker this morning after the weekly ADP data. Just before 11am ET, several newswires called ceasefire negotiations into question. Chief among these was a report that Iran had not confirmed its intent to participate. Despite the seemingly significant consequences, bonds only rose about 2bps in terms of 10yr yields. By the 3pm CME close, yields were up less than 4bps on the day and still well inside the prevailing consolidation range. There's been a bit more weakness since then owing to new headlines indicating that neither Iran
21st April, 26
Highest Rates in a Week But There's a Catch
Technically and officially, today's average top tier 30yr fixed mortgage rate is the highest since last Monday. The catch is that there hasn't been much movement since then with the overall range being limited to 0.04%. Today's jump was the largest upward movement during that time. There was some upward pressure on rates from stronger employment data in the morning, but the market was even more focused on the uncertain status of US/Iran peace talks. As the domestic business day winds down, it doesn't look like there will be concrete news on a ceasefire extension. As such,
Highest Rates in a Week But There's a Catch
Technically and officially, today's average top tier 30yr fixed mortgage rate is the highest since last Monday. The catch is that there hasn't been much movement since then with the overall range being limited to 0.04%. Today's jump was the largest upward movement during that time. There was some upward pressure on rates from stronger employment data in the morning, but the market was even more focused on the uncertain status of US/Iran peace talks. As the domestic business day winds down, it doesn't look like there will be concrete news on a ceasefire extension. As such,
21st April, 26
VOA, Processing, DPA, Non-QM, Broker Products; Lender 2025 Volume Rankings; Attorneys and Legal Risk
Wholesale and Correspondent Product and Corporate News Homebridge Financial Services, Inc., one of the nation’s largest privately held non-bank mortgage lenders, has officially signed an agreement to merge with an affiliate of Saluda Grade, a premier independent alternative investment firm (founded in 2019 with approximately $4.4 billion in assets under management). This powerful partnership marks a major leap forward, positioning the combined platform for explosive growth, particularly across the rapidly expanding Non-QM and HELOC space. The executive and management team at Homebridge are
VOA, Processing, DPA, Non-QM, Broker Products; Lender 2025 Volume Rankings; Attorneys and Legal Risk
Wholesale and Correspondent Product and Corporate News Homebridge Financial Services, Inc., one of the nation’s largest privately held non-bank mortgage lenders, has officially signed an agreement to merge with an affiliate of Saluda Grade, a premier independent alternative investment firm (founded in 2019 with approximately $4.4 billion in assets under management). This powerful partnership marks a major leap forward, positioning the combined platform for explosive growth, particularly across the rapidly expanding Non-QM and HELOC space. The executive and management team at Homebridge are
21st April, 26
Barely Weaker After Weekly ADP Data (Not Retail Sales)
Heading into the day, the 8:30am Retail Sales data was the obvious pick among the available economic reports to be a potential market mover. Reality had other ideas... weird ones. After months and months without any major reaction, this morning's weekly ADP employment finally made its presence felt, even if only by the smallest of margins. Retail Sales definitely garnered a higher volume reaction, but it was balanced between buyers and sellers whereas ADP actually caused a small directional move. Fortunately, it's so small that we've already talked about it too much. Bonds are essentially flat
Barely Weaker After Weekly ADP Data (Not Retail Sales)
Heading into the day, the 8:30am Retail Sales data was the obvious pick among the available economic reports to be a potential market mover. Reality had other ideas... weird ones. After months and months without any major reaction, this morning's weekly ADP employment finally made its presence felt, even if only by the smallest of margins. Retail Sales definitely garnered a higher volume reaction, but it was balanced between buyers and sellers whereas ADP actually caused a small directional move. Fortunately, it's so small that we've already talked about it too much. Bonds are essentially flat
20th April, 26
Bonds Only Modestly Weaker After New Escalation Over The Weekend
Bonds Only Modestly Weaker After New Escalation Over The Weekend Bonds/oil/stocks saw a small corrective bounce over the weekend after headlines called the peace process into question, but markets agree we're close enough to "on track" to avoid a major correction. Over the course of the day, bonds returned all the way to 'unchanged' even as oil prices stayed elevated vs Friday's close. It's hard to conceive that any counterparties in the war have the economic will to re-escalate at this point. Still, we don't know if the present 2 week ceasefire will give way to another ceasefire or something
Bonds Only Modestly Weaker After New Escalation Over The Weekend
Bonds Only Modestly Weaker After New Escalation Over The Weekend Bonds/oil/stocks saw a small corrective bounce over the weekend after headlines called the peace process into question, but markets agree we're close enough to "on track" to avoid a major correction. Over the course of the day, bonds returned all the way to 'unchanged' even as oil prices stayed elevated vs Friday's close. It's hard to conceive that any counterparties in the war have the economic will to re-escalate at this point. Still, we don't know if the present 2 week ceasefire will give way to another ceasefire or something
20th April, 26
Mortgage Rates Almost Perfectly Flat to Start New Week
Despite some initial signs of volatility in financial markets over the weekend, the bond market managed to avoid losing much ground. Because bonds dictate mortgage rate movement, the average lender remained very close to Friday's latest levels. MND's rate index (a measure of top-tier 30yr fixed rates) rose by 0.01% which is the smallest increment we measure. Since April 14th, the index has held inside a narrow range of 0.03% with the bottom of that range representing the lowest rate in over a month. Volatility is a bigger risk over the next 2 days as the 2 week Iran war ceasefire expires
Mortgage Rates Almost Perfectly Flat to Start New Week
Despite some initial signs of volatility in financial markets over the weekend, the bond market managed to avoid losing much ground. Because bonds dictate mortgage rate movement, the average lender remained very close to Friday's latest levels. MND's rate index (a measure of top-tier 30yr fixed rates) rose by 0.01% which is the smallest increment we measure. Since April 14th, the index has held inside a narrow range of 0.03% with the bottom of that range representing the lowest rate in over a month. Volatility is a bigger risk over the next 2 days as the 2 week Iran war ceasefire expires
20th April, 26
Best-ex, AI, Servicing, Borrower Acquisition Tools; HELOC, Non-QM, Client Funnel Products; Markets on Hold?
War in the Middle East made oil prices go up, higher oil prices hurt world economies and stock markets because prices and inflation go up, and higher inflation leads to higher interest rates. At least, that’s the way it usually works, as does the opposite. Last week stock markets surged as pivotal geopolitical development reshaped investor sentiment: The announced reopening of the Strait of Hormuz marked a major step toward de-escalation in the Middle East, with ongoing negotiations fueling optimism that a broader resolution may be closer than previously expected. Oil prices plunged roughly
Best-ex, AI, Servicing, Borrower Acquisition Tools; HELOC, Non-QM, Client Funnel Products; Markets on Hold?
War in the Middle East made oil prices go up, higher oil prices hurt world economies and stock markets because prices and inflation go up, and higher inflation leads to higher interest rates. At least, that’s the way it usually works, as does the opposite. Last week stock markets surged as pivotal geopolitical development reshaped investor sentiment: The announced reopening of the Strait of Hormuz marked a major step toward de-escalation in the Middle East, with ongoing negotiations fueling optimism that a broader resolution may be closer than previously expected. Oil prices plunged roughly
20th April, 26
Bonds Only Modestly Weaker After New Escalation Over The Weekend
Heading into the weekend, all indications were about as promising as they have been that the war was heading toward a peaceful conclusion. This was reflected in oil prices and Treasury yields being at multi-week lows (and stocks at all-time highs). But over the weekend, the U.S. fired on and seized an Iranian ship, and Iran said it was cancelling plans to re-open the Strait of Hormuz. Oil prices retraced almost all of Friday's drop on the news and bonds erased more than half of the associated gains. But both began bouncing back slowly in overnight trading. Bonds are now moving back into
Bonds Only Modestly Weaker After New Escalation Over The Weekend
Heading into the weekend, all indications were about as promising as they have been that the war was heading toward a peaceful conclusion. This was reflected in oil prices and Treasury yields being at multi-week lows (and stocks at all-time highs). But over the weekend, the U.S. fired on and seized an Iranian ship, and Iran said it was cancelling plans to re-open the Strait of Hormuz. Oil prices retraced almost all of Friday's drop on the news and bonds erased more than half of the associated gains. But both began bouncing back slowly in overnight trading. Bonds are now moving back into