MND NewsWire : interest rates

Long Term Rates Set another Record

Jann Swanson — Thu, 08 Jan 2009 16:09:13 GMT

Long-term interest rates continued to drop during the week ended January 8 according to data released by Freddie Mac Thursday morning. The Primary Mortgage Market Survey recorded the tenth consecutive week of mortgage rate declines and the 30-year fixed-rate mortgage (FRM) established yet another record low of 5.01 percent with 0.6 point compared to 5.10 percent with 0.7 point for the last week of 2008. This establishes another benchmark low for the Freddie Mac survey which has been tracking interest...(read more)

Interest Rates Continue Downward Drift

Jann Swanson — Wed, 31 Dec 2008 21:14:24 GMT

Interest rates continued their slow but steady decent during the week ended December 31 according to results of the Primary Mortgage Market Survey released by Freddie Mac Wednesday morning. The 30-year fixed-rate mortgage (FRM) hit yet another historic low during the week averaging 5.10 percent, the lowest rate since Freddie Mac initiated the survey in 1971. A week earlier the 30-year averaged 5.14 percent, the record low at that time. Fees and points dropped from 0.8 to 0.7 this week. The 15-year...(read more)

Credit Card Companies Add to Economic Woes

Jann Swanson — Thu, 11 Dec 2008 14:55:01 GMT

Millions of Americans are being sandbagged yet again by consequences arising from the banking crisis. For the last six months or so, lenders have been wrecking havoc on many of their customers by reducing credit limits , increasing prevailing interest rates , or both. These unilateral moves have been made by credit card companies, which are virtually unregulated, and by lenders who have extended other revolving credit such as home equity lines (HELOCs.) To a certain extent this is not new. Credit...(read more)

Fed's Bernanke Says 1% Target Rate Isn't Floor, Other Actions More Effective

CEP News Feed — Mon, 01 Dec 2008 19:46:00 GMT

Federal Reserve chairman Ben Bernanke said that economic activity has downshifted further and the policy response must be vigorous. He said cutting the Fed funds target rate below 1% is "certainly feasible", but broader action could be more...(read more)

MBA Mortgage Applications Move Lower in Week Ending October 31

CEP News Feed — Wed, 05 Nov 2008 14:36:28 GMT

Weekly mortgage applications in the United States decreased in the week ending October 31, according to data released from the Mortgage Bankers' Association (MBA) on Wednesday, which reported a 20.3% week-over-week fall in applications. In the previous...(read more)

Fed's Yellen Says Rates Could Reach Zero in Weak Economy

CEP News Feed — Thu, 30 Oct 2008 20:25:57 GMT

San Francisco Federal Reserve President Janet Yellen said the Fed could lower rates below 1%, and that they could reach as low as zero amid a weak economy. Speaking at an event hosted by the University of California at Berkley and UCLA, Yellen said that...(read more)

Mortgage Rates Swing Upward Again This Week

Jann Swanson — Thu, 30 Oct 2008 18:15:04 GMT

Mortgage interest rates have been seesawing like the stock market over the last few weeks and this week they again took some mega-jumps. According to Freddie Mac's Primary Mortgage Market Survey for the week ended October 30, the 30-year fixed-rate mortgage (FRM) increased from 6.04 percent with 0.6 point during the previous week to an average of 6.46 percent with 0.7 point. This was a healthy jump but fell far short of the increase during the week ended October 16 when the 30-year jumped 52...(read more)

FOMC Unanimously Votes to Cut Target Rate 50 Basis Points to 1.00%

CEP News Feed — Wed, 29 Oct 2008 18:36:33 GMT

The Federal Reserve announced Wednesday that it would cut the Federal funds target rate by half a point, as widely expected, to 1.00% . The accompanying statement said economic activity had decreased markedly from a decline in consumer expenditure. In...(read more)

Fed Widely Expected to Cut Rates 50 Basis Points to 1.00%

CEP News Feed — Tue, 28 Oct 2008 18:09:24 GMT

It is widely expected that the Federal Reserve will cut the Fed funds rate by 50 basis points to 1.00% on Wednesday, the lowest level since June 2004. Fed watchers expect the vote to be unanimous and the accompanying statement to echo the "wait-and...(read more)

Federal Reserve Cuts Rates 50 bps in Co-ordinated Central Bank Action

CEP News Feed — Wed, 08 Oct 2008 12:34:14 GMT

The Federal Reserve was among six major world central banks that delivered an inter-meeting 50 basis point cut to its overnight lending rate. The Fed cut its key rate 50 bps to 1.50%, citing weakening economic activity and a reduction in inflationary...(read more)

Fed's Lacker Says Recession Likely But Rate Cuts Won't Help

CEP News Feed — Tue, 07 Oct 2008 13:01:01 GMT

In an interview with the Wall Street Journal on Monday, Richmond Fed President Jeffrey Lacker (non-voter) said the U.S. economy is most likely in recession, but that monetary policy easing may not be the answer. "It looks pretty likely that this...(read more)

Economists Say Huge Drop in Nonfarm Payrolls Could Force Fed to Cut Rates

CEP News Feed — Fri, 03 Oct 2008 14:03:40 GMT

Economists say the larger-than-consensus decline in employment in September is further evidence of broad-based weakness in the economy, and there are no indications that job losses will ease anytime soon. As a result, many are saying the Federal Reserve...(read more)

Economists Look to Rate Cuts, Second Financial Rescue Package for Hope

CEP News Feed — Tue, 30 Sep 2008 14:16:39 GMT

After failing to pass a bill geared at kick starting the financial system in the United States on Monday, market participants are looking for help from central bankers in the form of rate cuts and a return of the failed bill as early as Thursday. According...(read more)

Overnight USD LIBOR Makes Biggest Jump on Record

CEP News Feed — Tue, 30 Sep 2008 13:14:53 GMT

In the largest rise on record, the British Bankers Association reported that the overnight U.S. dollar inter-bank lending rate (LIBOR) jumped 431 basis points to 6.88% . Last week, the overnight LIBOR was 2.95%, suggesting a further sharp tightening of...(read more)

Fed Funds Futures Price in 50Bp Cut

CEP News Feed — Tue, 30 Sep 2008 12:51:00 GMT

As the U.S. Congress voted to reject the bailout legislation, Fed Funds Futures are pricing in a 66% chance of a 50bp rate cut and 34% of a 75bp cut for the next Federal Reserve meeting scheduled for Oct. 29. In a stunning turn of events that sparked...(read more)