Industry News
Mortgage Industry News
Home Prices Increase
09/28/2010
The July Case-Shiller 20-city home price index increased 0.6% from June, and was 3.2% higher than one year ago. The Wall Street Journal reported that Fed officials are considering a different approach if they decide to purchase more bonds to stimulate the economy. Unlike the recent massive MBS purchase program, the Fed’s new plan might include smaller-scale purchases of Treasury securities with an open-ended time frame. This approach would give the Fed more flexibility to make adjustments. It would also make Fed actions harder to predict, which might add volatility to MBS markets. The Dow is down 25 points. Weaker than expected Consumer Confidence data lifted MBS markets.
