Industry News
Mortgage Industry News
Credit Tightens in China
01/26/2010
Credit continues to tighten in China as The Bank of China has stopped extending new corporate loans in the Shanghai area. They will also screen personal loans and mortgages more closely. Stocks and commodities are down; bonds are rallying slightly. There is a $44B 2yr note auction today. Right now, the futures market is pricing in an 88% chance that the Fed keeps rates somewhere between 0% and .25% through April 28th, 2010. Currently, the Ten Year yield is at 3.623% (3.64% yesterday) and the 2-10 yield spread is at 279bps, flattening 2bps since yesterday morning.
